Wednesday Morning

Gator's Chart of the Day: BWLD

I've had that white support/resistance line on this chart since last year and it's still relevant.  Below is a shorter term view of the same chart but I wanted you to see where the white line originated.

Looking for a low risk trade right here right now

This may not be a high probability trade but it will be very low risk.  The support line is very clearly defined  and very close by.  While it's difficult to see, the volume has been increasing for the last three sessions and both Monday and Tuesday were above the 50 day average.  Tuesday may have been enough to finish the selling.

The Trade
I would look for an early entry but only if the price is above Tuesday's intra-day low (81.55) at the open or within the first 15-20 minutes of trading.  If not then too bad so sad.  This won't work.  If the entry does present itself I would take a 1/3 or even 1/2 position and plan to add quickly.  This is because the stop will be very tight so the risk is small.  The stop should be about 81.50 so the risk should be 2% or less.  The upside target is inside the upper Bollinger band which should allow a $7 move or about 6:1 reward/risk.