Update on DWSN - Use those Stops

DWSN was crushed today on large volume. I speak about using stops in the Philosophy and Education section of the site. I specifically stated this in my post from yesterday. A lesson to anyone that broke the rules today:

This is why we keep "stops" when we are not sure of the pattern or not sure of the general market environment! I stated the "stops" specifically for this reason. I also stated how the new formation did not have "a handle". In some cases, handles don't form after the cup but a breakout is that much more convincing after a proper handle forms, especially in a second stage base or later.

I hope anyone that owned DWSN, followed the rules and used a stop.

Getting stopped out from my original buy point would still leave you with excellent gains. A stop on the most recent pattern would most likely leave you with a small loss - a small price to pay for insurance.

Piranha