The VoSI VooDoo Report
Offbeat Ideas and Commentary from the Depths of Gil's Trading Notes
Baozun (BZUN) has had three waves of downside selling in its pattern, and is now "living" below the 200-dma.
The third downside wave by definition undercut the August 15th low at 45.75 and the stock has now rallied above that low, closing today 46.50. Therefore, this would trigger a low-risk undercut & rally (U&R) long set-up here using the prior 45.75 low as a very tight selling guide. The success of the U&R will likely depend on how well Chinese names are able to rebound over the coming days. Nevertheless, this is an actionable set-up, and the primary advantage of the U&R set-up is the existence of a very tight selling guide that is defined by the 25.75 prior low. A typical Ugly Duckling set-up that is concrete and concise with respect to tight risk-management.
VoSI VooDoo(TM) Report - Baozun (BZUN) 9/19/18
|Published:||19 Sep 2018 19:59 ET|
This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2019 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.