ATVI Long Position

18 giu 2013

Since breaking its consolidation zone ($10.00 to $12.50) that it had been bouncing between for the last 3 years, it blew past the previous spike high at $14.00. It is presently consolidating in a wide pattern I like to call a "megaphone." The base of which is located at the $14.00 level right around the 100 day moving average. I'm looking for a re-test of the 2008 highs at $18.00 in the coming months, and I'd take a long position at current levels ~$14.50, with a stop on a daily close below $13.75 for a risk/reward ratio of approximately 4:1