TUE 3/3: ADI – CALLING A 3RD SELL SIGNAL @ $339.62 +22.04%

9:41 AM – Shares gapped down this morning and broke below stacked support at the 10 DMA and the round-$350 level. While the stock carries high ranks and solid fundamentals, this is swing trading, and a break of the 10 DMA is a SELL SIGNAL on our books. With gains now exceeding +22% on the final 1/3, it makes sense – rather than risk giving them back in a volatile market.

BUY SIGNALS:
12/10 (1/3) @ $278.29

SELL SIGNALS:
12/17 (1/3) @ $274.54 -1.3%
1/19 (1/3) @ $302.44 +8.7%
3/3 (1/3) @ $339.62 +22.04%

OVERALL P/L: +9.8%

ULTRA Trader’s Tip: Protect Gains When Support Breaks

  • A gap below the 10 DMA signals a sudden shift in short-term momentum.

  • When key support levels break together, downside pressure can accelerate quickly.

  • Booking profits into rule violations protects gains before volatility erodes them.

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