KR has an overall fairly narrow trading range. On this 4H chart, it is presently in a symmetrical
triangle or slowly rising wedge. Earnings beats have been respectable. KR reversed on June 1
at the trending support line and is heading toward overhead resistance. Just before that upper
resistance trendline is the POC line of the high volume area of the profile where high volatility
and increased trading could result in a bounce and fall. Confirmation is found in the zero-lag
MACD indicator which shows a K /D line cross under the histogram.
I will take a long trade on KR (reversion to the mean) with the stop loss at that pivot low on
June 1st and the target a nickel below the POC line at 48.95. I see this as a low-risk and low
reward trade which may also be the basis for adding a low risk call options trade to the
options portfolio.
triangle or slowly rising wedge. Earnings beats have been respectable. KR reversed on June 1
at the trending support line and is heading toward overhead resistance. Just before that upper
resistance trendline is the POC line of the high volume area of the profile where high volatility
and increased trading could result in a bounce and fall. Confirmation is found in the zero-lag
MACD indicator which shows a K /D line cross under the histogram.
I will take a long trade on KR (reversion to the mean) with the stop loss at that pivot low on
June 1st and the target a nickel below the POC line at 48.95. I see this as a low-risk and low
reward trade which may also be the basis for adding a low risk call options trade to the
options portfolio.