Note how waiting till around 4 PM yesterday was necessary to check if price could keep rising till the close. Patience is needed when trading retracement trades. We want to first verify that the 'smart money' who generally close the market were able to push up PME to near or at the high of the day. In practice the opposite happened with price opening at $15.01, reaching an early high of $15.315, then trading lower till the $14.80 which was also near the low of the day. The bears were in control most of the day. Price closed below the previous day's $14.87 high, hence I did not buy.
See PME hourly chart below with 9, 21, and 50 EMA lines. At a minimum to enter this retracement trade we want the 9 (red) line crossing above the 21 (green) line. Ideally both the 9 and 21 lines should be moving up above a rising 50 (black) EMA line. For now until that happens the short-term trend is still down for PME.
Ideally now on next Monday, I would like to see PME trading above Friday's $15.315 high around 4 PM before buying. The broker can also send a SMS text alert to a mobile phone and/or e-mail when PME first trades above $15.315. If no text alert is received, I don't bother looking at PME that day.
1-hour PME chart attached:
Note how waiting till around 4 PM yesterday was necessary to...
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 (20min delay)
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Last
$113.52 |
Change
1.420(1.27%) |
Mkt cap ! $11.85B | |||
| Open | High | Low | Value | Volume |
| $112.10 | $113.93 | $112.06 | $16.17M | 142.6K |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 1 | 144 | $113.50 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $113.67 | 328 | 1 |
View Market Depth
| Last trade - 16.10pm 03/05/2024 (20 minute delay) ? |
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Last
$113.59 |
Change
1.420 ( 1.11 %) |
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| Open | High | Low | Volume | ||
| $112.17 | $113.91 | $112.17 | 26535 | ||
| Last updated 15.59pm 03/05/2024 ? | |||||
| PME (ASX) Chart |