THU 2/19: CMC – CALLING A 2ND SELL SIGNAL @ $77.63 +3.7%

3:50 PM – Shares continue to get turned back from the 10 DMA as that line rolls over, signaling weakening short-term momentum. Repeated rejections at the 10 DMA are bearish technical signals that warrant attention. Trimming another 1/3 here and locking in a +3.7% gain.

SELL SIGNALS:
2/17 (1/3) @ $78.24 +4.6%
2/19 (1/3) @ $77.63 +3.7%

OVERALL P/L (ON SOLD SHARES): +4.2%

ULTRA Trader’s Tip: Respect Repeated 10 DMA Rejections

• When price repeatedly fails at the 10 DMA, momentum is shifting.

• A rolling-over 10 DMA often precedes deeper pullbacks.

• Trimming early keeps small gains from evaporating.

• Manage weakness before it manages you.

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Chart services courtesy of stockcharts.com. Annotations by James Taulman.