The following trade ideas have been removed from the Active Short Trades categories as they have either exceeded their previous suggested stops (or any reasonable stop, if none suggested) or the stock simply no longer looks to offer an attractive R/R at this time. Some of these trades may have already hit one or more profit targets while others did not. Most trade ideas on RSOTC are immediately removed from the Active Trades category upon reaching the final profit [...]
The PRAA (Portfolio Recovery Assoc) short trade has now hit & exceeded the first target & with a current gain of 12.2% since entry. I favor prices moving lower to at least T2 in the near-term & I'm current split between T2 & T3 as my preferred target. However, T3 remains the final swing target at this time. Click for live chart of PRAA
PRAA has recently broken below a textbook bearish rising wedge pattern, complete with negative divergences in place at the recent highs. Following the breakdown, PRAA (Portfolio Recovery Associates) made a backtest of the pattern from below and has since began moving impulsively lower, giving additional validation to the pattern. Although a reaction off the support zone (52.35-53.00) is likely, PRAA looks to offer an objective initial short entry here, bringing to a full position on a break below support. As such, PRAA will be added as an Active Short Trade at current levels. Stops should be commensurate with one's preferred target [...]
As I'm now able to focus my efforts on the long overdue process of cleaning up the Trade Ideas category, I am doing so in phases starting with Short Trade Ideas (Setups and Active Trades). I did a once-over of all the charts and placed one of three symbols next to each trade; "OK" means those trades still look objective and will be left on as Active Trades for now, to be updated asap. A "?" means that I need to study the charts in more detail before deciding to leave the trade or setup listed on the site as it [...]
Here's an updated chart listing the three profit targets for the PRAA short trade posted earlier today. As of now, my preferred target is T3 at 92.02 (the actual support/expected bounce level is 91.90 but targets on short trades are placed just above support to help assure a fill). A stop over the 129.70 level would offer about a 3:1 R/R if targeting that level. For those preferring the first or second targets, a tighter stop would be suggested.
I need to run out for a quick errand but wanted to share this short setup on PRAA. As I type, the stock is trading at 119.89 which puts it right on the bottom trendline of this rising wedge pattern. Consider any move below today's low of 118.71 as the trigger for a short entry. Targets are shown on this chart but I will update the exact price levels as well as the suggested stop when I return.