As a follow-up to yesterday's unofficial long trade idea on SMTC (Semtech Corp), here's a 60-minute chart showing a resistance zone that runs from about 22.75-23.00 which is likely to cause at least an initial reaction if/when the stock gets there. As such, I'm most likely going to book full profits towards the bottom of the zone which would provide a quick gain of about 8% or so, assuming the stock makes it there in the coming days.
Once again, SMTC has the potential to morph into a more lucrative, multi-week or even multi-month swing trade based on the case that was made yesterday. If the stock does make it to this bounce target zone soon & I close the position, I will most likely take SMTC off my radar without any further updates, unless requested via the contact form.
On a final note, a prudent stop for those who went long yesterday would be just below yesterday's lows or at your entry price, which would help to assure either a small loss or a breakeven on the trade (barring any large opening gap that exceeds the stop).