Converted Organics (COIN) Bullish Triangle Play

Posted By Tate Dwinnell |  Subscribe in a reader | Comment 0

I haven’t featured too many trades here at the blog recently but once the Fed is out of the way and some of the market uncertainty lifted, I’ll begin featuring them more.  Today, I feature Converted Organics (COIN), a stock that more than tripled near the beginning of the year in just a few weeks.  Since then, volume has dried up and price converged into a bullish triangle formation.  As you can see in the chart below, the stock could still drop to near 9 and still be considered in a bullish formation so there is room to consolidate for a few more days.  An entry may be signaled on a break out above the top of the triangle, just make sure the volume is there.  Also, consider smaller positions because these low price, momentum, speculative plays carry much more risk in a bear market.  Keep losses small and lock in profits quicker!

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