Thursday, June 30, 2011

Key level: INTU Short

In the event of a market pullback, Intuit Inc. (INTU) will have strong resistance between 52.50 and the 50 moving average.

There are 6 factors here which could contribute to a pullback: the 50 moving average, two pivot lows, the 50% fib retrace, a gap fill and a bear wedge candle formation. This is a very similar situation to the markets overall so we'll be looking to it to help guide this trade.


I'll enter this short on a hit of the 50MA but it's valid anywhere above the gap fill at 52.48. Make sure to keep a stop as the market can rise easily during holidays.

2 comments:

  1. Glad you found it useful. This was a great short setup--down just over 5 dollars before getting a bounce.

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