For this week, we would like to congratulate our featured trader: Yellowcup a.k.a. @ataraxia!
This trader was able to spot $WLCON or Wilcon Depot, Inc. which is one of the market leaders from a wide array of selections in the $PSEi. Yellowcup a.k.a. @ataraxia, is an active member of the Investagrams community who endlessly spreads his knowledge on the local market using Technical Analysis.
It is impressive that he includes his notes in his posts regarding a said stock. It is worth highlighting that $WLCON consolidated for 7 months before delivering a fatal blow to its structural resistance level, which resulted in an immense breakout.
The consolidation pattern was supported with below-average volume, which signifies a buildup. Once the stock broke out of its pivot high, the said move was supported with massive volume. As the saying in Wall Street goes, “The bigger the base, the higher in space.”
Along with $MM, $ACEN, and $AREIT, $WLCON has the potential to become an All-Time High candidate, given that it’s nearing those levels. Therefore, the stock must hover and sustain above the 19-peso levels to proclaim its dominance. As of this writing, the stock is displaying good price action as it is currently consolidating near the highs. That consolidation or continuation pattern may serve as a leverage to propel its way upwards.
It is a low-risk, high-reward trade, as the stop loss levels for the said breakout point around the 16.5-peso area could be below 16 (-4%), and the take profit areas could be the structural resistance at 19 or selling into strength opportunities above those all-time high levels (minimum 16%). It is a must for the stock to at least hold the 16-peso levels, in case anything drastic happens soon in the financial landscape.
It is of the essence to be like Yellowcup a.k.a. @ataraxia wherein he creates a trading plan before executing a trade. It is a non-negotiable for aspiring market participants to plan to concentrate on your trade executions during market hours. The thinking should be done during cold state hours.
Congratulations to those who were able to maximize the bigger picture play of $WLCON. Lastly, kudos again to Yellowcup a.k.a. @ataraxia for sharing his trade analysis. Your FREE 1-Month InvestaPRO is on its way!
