Tuesday, March 24, 2015

Sold CTSH

Today I had to sell CTSH.


I am not sure 100% about what I did. I had a support at 63.00 / 63.10 and the stock closed at 62.96 so we are much close to that level (cannot talk about a break up). Also the up-trend is still valid but I cannot wait for the price to go to test the uptrend, cuz if will fail, my loss would be of more then 4% and is too much. Maybe I did a wrong entry.

Why I sold.

1) The main doubts are that this is the third strong red candle of the last 3 days and my loss was going to be too big for me to wait more than this.
2) The uptrend was too much far to wait for a test (is at about 62$).
3) The Stochastic turned down as well as the MACD.
4) While yesterday volume was few, today is much more.


Here the graph





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