Symantec Corp. (SYMC) recently gapped down on earnings breaking through a daily demand zone.
GAP REVIEW
On January 30, 2014 SYMC gapped down taking out the $22.00 demand zone (support). The stock immediately broke through $22.00 and never could recapture that area of demand and quickly moved down to the $20.00 area. It tried to rally twice to only be met with sellers above confirming our bias that we want to be short this equity.
KEY LEVEL
SYMC recently cracked through $20.00 which is giving us a potential short entry. $20.00 has been demand since it gapped down and it has tested that area three times. The longer it sits down here in this bullish market the more likely it’s going to drift lower to the next area of demand at 18.00.
THE TRADE
Short SYMC at $20.00 and Stop at 21.95, first Target is $18.00 than $17.00.
Disclosure: my Swing Newsletter Subscribers have been short since $21.25.
