CARA (Cara Therapeutics Inc) will offer an objective long entry on this potential (to be confirmed at the close) bullish engulfing candle & divergent low ON ANY MOVE ABOVE TODAY’S HIGH OF 1.89. A stop placed just below today’s low would offer an above-average R/R profile.
CARA daily July 13th
As CARA is a low-priced, potentially volatile stock (aggressive trade) and factoring in the above-average gain/loss potential on this trade (~32% – 142% profit potential from T1-T5 vs. 8.5% loss, if stopped out), the suggested beta-adjusted position size for this trade is 0.5 – 0.7). Daily chart below.