The stock has been trading sideways since mid-January, and today's upward move stopped and pulled back at the level of the Jan. 14 close, the day the stock set a high of $12.30 in a broader sideways movement that began in October 2009.
| trend | adx | psar | pps | macd | macd trend | sto | sto trend | |
|---|---|---|---|---|---|---|---|---|
| MGM $12.30 |
The glance shows a pretty mixed technical picture, with the one-day price raise and most technicals at odds with the psar.
Given all the sidewinderness and the low adx of 16, I don't like this as a directional trade. It would make a decent sideways play, say an April iron condor with maximum profit at expiration between $10 and $12, or perhaps $11 and $13.
The $10-$12 premium is 30¢, and the $11-$13 premium is 36¢. Given the strength of the increase today, I would want to see a convincing pullback before entering the trade.
Next earnings is May 4, so there's lots of time to play with.
You are here:
- Reversal
- $12.87, +4.6%
- $12.67, +3%
- $12.38, +0.7%
- Now $12.30
- Reversal
- $11.20, -8.9%
- $10.63, -13.6%
- $10.35 , -15.9%
- $10.08, -18.1%
psar - Parabolic Stop and Reverse
adx - Average Directional Index
pps - Person's Proprietary Signal
ma20 - 20-day moving average
macd - Moving Average Convergence-Divergence
mfi - Money Flow Index
sto - Fast Stochastic
About the glance: The colors indicate the state of each signal.
- trend: green for up, red for down, yellow for sideways
- adx: green for above 30-up, red for 20-down, yellow for in the middle. Red is most prone to whipsaws
- psar, pps, macd: green for bull mode, red for bear
- sto: green for overbought, red for oversold, yellow for the neutral zone.
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