MCP with a GS Sell Signal, Maybe a Bottom Coming...

The last time we traded MCP we closed it October 2nd ( a short term trade) for a +38% and +58% return. The last time I wrote about MCP was October 4th, but I've kept an eye on it since then.

MCP has been looking like a large, long term base, but on October 4th after looking for a pullback that we got,  I had written,

"I don't or didn't feel strong about the action in underlying trade when the pullback took place yesterday so I didn't open a new position... This is the 5 min MCP chart, this is what I wasn't too excited about yesterday, it just seemed like MCP needed some more time to gather strength so I skipped the trade...  So far intraday we don't have the kind of support MCP needs to sustain a move higher so I'll set some alerts for a shallow consolidation and look to see if this situation has improved which may offer that SCBO." 

Here's what happened since...

 10/2 is when we closed out a trade and 10/4 is when I wrote the above, shortly after that MCP dropped out of what looks to be a large bottom/base on heavy volume.

 However the long term weekly chart shows this is still most likely a base going through a shakeout and with Goldman's sell signal on MCP now, it virtually guarantees they are trying to buy it on the cheap.

 Here's the range after the gap down and a break under the range today on the GS news.

Yet the hourly chart has been going positive since that gap down, I'd suspect GS has been involved here long before today.

Still the shorter term charts need to catch up like this 10 min, but I'd definitely keep MCP on your long watchlist and keep an eye out for that reversal process.