WFM Trade Idea

I was asked to take a look at Whole Foods Market, this seems like an obvious target with the economy the way it is and food inflation being a problem.

I took a look at WFM and wasn't surprised, in fact I think if you have the ability to set price alerts you may be able to set up a decent low risk trade on the short side.

Here are the charts.

 On a 7-day chart you can see where WFM's very small bodied candles rolled over, there was a final burst and now WFM looks to be starting to roll-over.

 This is that same area on a 1-day chart, notice how the 7-day chart gives you a different perspective about momentum that you wouldn't catch on a 1-day chart.

 This is the daily 3C chart, there looks to be a very obvious problem here and around the same area. Whenever I see confirmation like this just turn drastically, I give it a lot more weight.

 On a 10 min chart every move higher has been sold in to and if you look at what should be positive divergences between each of the moves at price lows they are either very small or aren't there at all.

We do have an open gap today and I suspect WFM will make an attempt to break higher, I'd set price alerts (and I will as well) between $95 and about $100, as they trigger we'll see how the short term charts are holding in WFM, if we can get a high enough move we should be able to get a low risk short sale entry.