Monday’s opening-bar short-squeeze exceeded the 116.63 rally target we’ve been using for the last week, implying that still higher prices are coming. If so, look for the next surge to reach the 120.24 target shown, presumably within the next four to seven trading days. The pattern is tradable using ‘mechanical’ bids either at the red line (p=112.16) or the pink one (p2=116.20), but the latter would require at least a three-bar idle above the line before a pullback to it could be bid ‘mechanically’ (stop 114.84). I am not recommending the substitution of call options for stock because a seven-day climb to the target would cause more time decay than the rally is likely to augment. One final note: The precise stall at p=112.16 implies that a potentially tradable pullback will occur from very close to 120.24 if and when it is reached. _______ UPDATE (Jan 3): Zzzzzzzzzz. Time to retire this stock from the list for a while.
