CHT Trade Candidate Follow Up...

On Feb. 24th I posted CHT as a trade candidate and while CHT was already down big, I urged you to put it on a watchlist for a bounce to the $31.50 area. Well CHT has bounced and is nearing the area mentioned in the post, this is why we use watchlists- to keep tabs on potential trades and we use alerts to let us know when a potential trade is nearing our target so we can pay close attention and look for a tactical entry.

Here's CHT...

 CHT longer term top and the date of the trade idea. The large volume on an established decline suggested a bounce was coming. The pattern implied target is $18.

 A closer look at the bounce toward $31.50

 Here the Trend Channel on a 5-day setting has a stop in the $33 area so a bounce to $32 or $32.50 would be even better from a risk management point of view.

 The long term daily 3C shows CHT in a strong daily leading divergence, the trade has been all about a tactical entry.

Here's the 5 min 3C that shows the accumulation by the middle men for the bounce. Keep CHT on your radar today as SJM was yesterday.