Did You Ever Think Dry Could Go this High DRYS

The talk of the trading community this week is the impossible, raging rally in Dry Ships (DRYS).

We leave the reason aside and follow the price.

Let’s update our chart from the original post I made for you on November 14th.

Before looking at today’s “what happened next” chart above, take a moment to read the brief post from Monday.

Here’s a quick quote:

“We believe that stocks which are strong tend to get stronger, not weaker and DRYS gives us a perfect example of this “strong getting stronger” concept developing rapidly.”

Dry Ships reminds us this statement is true and advantageous to us for making quick profits.

After the post, there were even more, larger pro-trend retracements along the way.

I understand – it’s difficult to imagine something going from $5.00 to $100.00 in a week.

I understand feeling like “the moment I get long (buy) is the moment it reverses.”

However, use this as a key educational example of “black swan” or once-in-a-year events that do actually happen.

Your goal IS NOT to capture the bottom to the top. That’s literally impossible.

However, you CAN capture smaller, risk-controlled retracements that develop along the way.

This rally may be ending with the rapid reversal at $100 but add this stock – and this example – to your growing knowledge of how the market works and – as Mark Douglas reminds us – ANYTHING is possible.

From $5.00 to $100.00 in four days.  Yes – it happened.

Follow along with members of the Afraid to Trade Premium Membership for real-time updates and additional trade planning.

Corey Rosenbloom, CMT

Afraid to Trade.com

Follow Corey on Twitter: http://twitter.com/afraidtotrade

Corey’s book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).” alt=”” width=”630″ height=”518″ />