Lazy Trades Long & Short: HDB & DVA
January 7, 2013 - 3:59pm
Two swing-trading setups with tight risk plays
The first swing trade setup is in HDFC Bank (HDB), which the buy the way can be shorted, if it breaks through below support. But for the purposes of this post, I'm zeroing in on it from the long side. There is solid consolidation of late, and if it can break out to the upside, should make for an excellent move higher. These types of stocks that coil near their highs after a solid up-move previously provide some of the best profit opportunities the market has to offer.
The short setup is in Davita Heathcare Partners (DVA), which I remember trading it under $20. Now at $108 it looks exhausted, and a move below this price level, effectively ends the short-term uptrend and breakd below recent lows.
Both setups give ideal risk levels with substantial opportunities for profit.
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