Potential Breakout in the Making with a PB Entry
ROG has potential here to be a nice winner. The volume present just recently was the strongest volume over the last year of trading. This makes me consider it could be ending volume. However, with it being so close to the new year there is always a large amount of incoming capital during this time so the breakout volume could be aligned with that.
Right now this breakout is a short term failed breakout as it's closing back inside it's range. However, price has shown it has potential to breakout and it had volume when it happened. Adding to that fact that the 20 day low has not been broken in over 6 months creates a decent probability edge. If the volume was not as strong as it was I'd suggest full risk, but as the volume could be considered ending volume, I'd either look to take a smaller position or wait for a shorter time frame signal before entry. The line in the sand is the 20 range daily low. A break below that and this now becomes a failed breakout with plenty of trapped traders sending this the other direction. However, trends are innocent until proven guilty and if this pullback holds this can easily become a resting point to push higher into 2018.
Right now this breakout is a short term failed breakout as it's closing back inside it's range. However, price has shown it has potential to breakout and it had volume when it happened. Adding to that fact that the 20 day low has not been broken in over 6 months creates a decent probability edge. If the volume was not as strong as it was I'd suggest full risk, but as the volume could be considered ending volume, I'd either look to take a smaller position or wait for a shorter time frame signal before entry. The line in the sand is the 20 range daily low. A break below that and this now becomes a failed breakout with plenty of trapped traders sending this the other direction. However, trends are innocent until proven guilty and if this pullback holds this can easily become a resting point to push higher into 2018.
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