Saturday, November 7, 2015

VR Trader Training on CMG

From the desk of Top Market Trader Mark Leibovit:

The e Coli breakout in Chipotle (CMG) restaurants in the Pacific Northwest was in the headlines but VR analysis warned a bit ahead of time. The story regarding the e coli outbreak hit the 'Street' on October 30, but a series of Leibovit Negative Volume Reversals on the daily chart  begin to appear beginning on September 18.  There were, in fact, eight Leibovit Negative Volume Reversals formed prior to the big break on October 21 which took the stock down 60 points in one day (it then declined another 54 points counting this past Friday).  For short-term traders, a declining 5/3/3/ stochastic confirmed most the Leibovit Negative Volume Reversals. check out the video also for a look at the weekly Leibovit Negative Volume Reversals and even a positive one from way back in July which provided a bullish trade. The Volume Reversal (tm) is a powerful indicator in both directions, but you already know that! I've know that for 35 years!

Happy Trading
Jeff Gibby.  

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