Look for the stock to break sharply lower.
USU made its early morning rally today and continues to offer a modest play in put options or short selling. The stock is poised to follow the general market lower.
I have allocated 50% of my designated funds to the stock and I will be purchasing
call options in the morning Thursday.
LUX continues to trace out its consolidation pattern and I am still looking for the $16 area to buy the stock back.
We may have to be careful here though as a questionable wedge pattern is forming and should it break lower out of this wedge then the targets go lower than the $16 I am looking for.
Take a look at the wedge pattern below and ask yourself why this wedge pattern is questionable and not a pure pattern.