I entered my second long trade of 2016 on a Chaikin Money Flow Buy Signal. AT&T ($T) flashed the Money Flow Buy today, and I took the trade. Money Flow signals are one of our favorites. Here's why.
T is a "very bullish" stock, it has been in an uptrend for several months, staying above a rising 200 day Chaikin moving average, the relative strength agrees with the Power Gauge and the stock is currently oversold. Additionally, money flow has been strong and persistent and in the current environment the 5.2% yield could help hold the stock up if the current market rally stalls.
T is a "very bullish" stock, it has been in an uptrend for several months, staying above a rising 200 day Chaikin moving average, the relative strength agrees with the Power Gauge and the stock is currently oversold. Additionally, money flow has been strong and persistent and in the current environment the 5.2% yield could help hold the stock up if the current market rally stalls.
It looks like $T has a couple dollars of upside, before it's first area of resistance around 38.50 - 39.00, depending on how you draw your line.
I'll take the 2.00 dollar ride ( 5%) while enjoying a little dividend protection in a volatile market. I filled this trade earlier today @ $36.70 I'll set my stop 20% below, to make sure and give it room to work. If the stock continues to gain, I'll adjust my stop accordingly. I'll keep you updated on the trade!
Happy Trading!
AA
Happy Trading!
AA
RSS Feed