We've discussed the overshoot strategy in previous posts but it's always good to review it with real-time examles:
So here's what we were initially looking at -- APC we had alert at 100SMA but stock wasn't pausing. We wrote next support is 65.65 -- this is secondary support, so stock goes through first support and then overshoots to secondary support.
Fortunately it worked as stock found footing there and bounced:
We actually tried the first small reversal at 100SMA, quickly took our 25 cent loss, and then tried again on the hammer on the secondary overshoot support, which ended up working well (2 points with 30 cent risk).
(add 3 hrs to time stamp -- west coast time printed and start from bottom)
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