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My name is Martin, from Cape Town, ZA. I'm the Co-Founder and Chief Editor of the growing Traders Community. I've an experience of over 8 years in Forex as a Portfolio manager, Trader and guest writer for many financiel and forex websites such as,... More
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Binary Options that Suck
  • Positive Technical Signs For Sears Holdings 0 comments
    Nov 18, 2012 1:51 PM

    Sears Holdings Trendish

    Binary options traders who focus on S&P 500 surely have mixed feelings about this stock market index, that was on a steep decline since March. All the charts and indicators suggest the fact that the index was moving towards the 1300 value, but the results recorded in early October change their perception. Still the market remains bearish towards S&P 500 and some of the stocks suffer more than the other, with Sears Holding being the least trusted one.

    From a strictly technical perspective, Sears Holding is a stock that is worth buying right now despite the fact that many managers consider it to be overvalued. Last week the stock closed above the resistance value and inched closer to $64, an upwards trend that began in mid-summer. Some experts are advising against purchasing Sears Holding stocks right now, but those who rely mostly on technical analysis, have concrete reasons to be optimistic.

    The relative performance is on the rise and now that the RS line is finally above the WMA, it is increasingly difficult to explain why Sears Holding fell out of grace. Weekly charts also suggest an improvement in the trading range, while the resurgence of the OBV indicator can't be dismissed either. On the bad side, the stock is known to have briefly risen only to fell dramatically soon after and in the past, and past events are also an integrate part of technical analysis.

    Why Considering Sears Holding Stock

    Binary options traders who are seeking high-yield moves and accept the idea of taking slight chances for maximizing profits, should considers Sears Holding stocks. If they are to surge they would probably do it before Christmas, as the stocks are riding a healthy trend and could in theory go as high as $70. Setting a stoploss limit as $58 will decrease the risk below double digits, and would further mitigate the risks.

    Regardless of what their position might be towards fundamental analysis, traders shouldn't wait for the elections to see what will be the party affiliation of the next president. There are sufficient data provided right now by the technical analysis to justify an action that is opposite to the market sentiment towards Sears Holding.

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