Well here we are another week gone by and Goldman Sachs simply will not make up my mind. In the 1 year chart you can see the support formed last year in the $158.00 to $160.00 zone. That support was broken in September and has now become resistance. You can see the 45 degree uptrend line which began under$60.00 a share has marched smartly into the $158-$160 resistance zone and backed off. What happens from here on out? No way to tell. What I want to know is this, what is a clear break below $140.00? Is it $138.00? Whatever It is I will dabble with 1/4 short position only if GS breaks below $140.00
From the 100 day moving average crossing over the 200 day moving average you would think the momentum is up, but from the stochastic separating you think it's crashing. All I know for sure is that I cant tell anything from the volume as there isnt any, as the volume remains below it's 50 dma.
As for the long side, and yes there is a long side I'd say a 1/4 position looks Ok above $160.00.
So there it is, short under $140.00 a 25 shares with a $4.00 stop,
long above $160. 00 with a $400 stop, out in between.
If you follow above you risk $100 loss plus broker fees.
Don't guess, don't jump, wait and trade the break.
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