Fibonacci Retracements for THQI

Here's something you don't see every day.

THQI gaps down from well above the 38% retracement level to below the 50% retracement level then closes strongly to the upside.

From there, the stock continues higher, eventually filling the gap previously created. But the stock can't seem to follow through and eventually takes out the low formed in the 50 to 62% range.

This is where sound money management techniques come in. If you did play the reversal, then trailing your position with a sell stop that gets adjusted as the stock moves higher would typically get you out at least breakeven - hopefully higher.

price retracement for THQI that failed

 


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