Posts Tagged ‘risk/reward ratio’
Juniper, what a nice name for a Network!
Basically, the story goes so. Juniper Networks, traded on NYSE has just in February jumped—wow! up and up from a long sideways pattern. It has gone up for 5 straight weeks and just this week completed a successful retest of a major resistance turned support line. It’s worth mentioning that the current uptrend is in an approximately 45 degree angle, ideal positioning for a long trend. Therefore I think there is a good chance it will continue upwards, the next resistance is 15% above it. With a strong support 5% above it, the risk/reward factor is 3:1 here, not bad in our field. Check out how its’ weekly Chart looks.
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This is the way the Chart looks:
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A True Retest
Any trained eye can see that Schlumberger’s Paris stock has come to a good point from a technical view. It has retested the support/resistance line, as shown on the daily chart below. There is about 7 to 8 percent up until it gets to the next resistance, which is not strong or historic. The monthly graph shows The line chart revealing the historic value of the different support/resistance lines. After such a retest, it can be said that this is a good moment to enter, bearing in mind all the personal financial considerations. This should be about a 1:3 risk/reward situation with a stop at the proper level, 2-3% below market price.
This is the way its daily charts looks:
Daily chart w/support shown
And now here’s the monthly line chart:
monthly line chart
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Hugo Boss looks good
This German stock of the famous company broke a major resistance at the end of last year(2009). It is in an excellent technical position(the one we usually buy at when we find it), it is starting a good-looking upswing and the RSI and MOM indicators show a solid support of it. The chance here is to buy at 24.7(perhaps a little higher) with a stop around 24–you should pick your stops(and stops are a MUST) with a look at a few factors, including how much you can afford to lose. Its 1st resistance is at about 26, though not major or historical. The next major resistance is around 29 which gives you a 17% profit should the stock oblige. Also, this is a 5 to 1 risk/reward and that is considered at the upper level of opportunities.
