IPGP Follow Up

IPGP was a trade idea to put on your watchlist from last Thursday (short).

In the post I said,

" I don't usually like shorting H&S tops in this area because the first break of the neckline usually sees a volatility shakeout back over the neckline so you need a pretty wide stop, but if the market is tanking with it, we may get away without the volatility shakeout, or you can just keep it on a watchlist and keep an eye on it for opportunities."


I also posted this chart of the Trend Channel with the following comments below it...

"I'm guessing the top of the Trend Channel now would be about right for a stop, of course the closer IPGP can move toward that area, the less risk there is in the trade, or you might wait for a break of the neck line. "


IPGP is in that area, although this is on a closing basis, there may be something to IPGP's move today which was initially strong, but started to fade quickly.


Here are the current charts...

 Today's move with a tall wick on the daily candle, higher prices being rejected or hitting resistance.

 The 1 min chart did not confirm the move up and was negative on the open, IPGP has retraced a bit since.

Although it is still early for 5 min readings, this chart did not confirm the move up this a.m. either.

 And the longer term perspective (60 min.).

I'm not convinced of jumping in with both feet here, but it is closer to the stop level, I'd like to see a little more of how IPGP performs once we move past the volatile a.m. trade, however it is worth noting and keeping a close eye on in this area. It may provide an opportunity to nibble at a position.