Yesterday was an earnings report short-term shakeout. Many top...

Yesterday was an earnings report short-term shakeout. Many top traders refuse to hold stocks on earnings day because risk (higher potential downside volatility) is more difficult to manage than usual. I held through earnings, but picked up 5% more BKL the day before. BKL now stands at 12.5% of my portfolio.

The big money is for those few traders who can hold for weeks or months while the longer-term moving averages are headed up. The first trigger to go short was back in Feb, 2016 near $180. Around $90 BKL was in stage 1 until price broke above the 130-day EMA around $105. My initial entry was based on this stage-1 to stage-2 transition around $118. The 130-day EMA is very near to crossing the 200-day EMA. These longer-term moving average crossover signals attract investors who use weekly charts.

BKL was today the largest percentage gainer out of all the top 300 ASX stocks:

https://www.marketindex.com.au/asx300


(ALQ_ALU_ASL_A2M_BAL_BKL_BSL_BUB_CWY_EHE_EVN_ILU_LYC_SDF)