This chart I have setup is more intriguing than your average angle chart. The stock is nearing the end of its current trend (4hr candle interval). I would feel comfortable going long on this stock while being weary of the first candle, I will explain...However I would form a second position (short) with the stop loss in the same zone as the long position to reduce risk. LKQ Corporation is reporting for the quarter ending December 31, 2016. This is a automobile (truck) company that caught my eye due to the fact that it is exhibiting extremely high relative volume. Consensus earnings per share forecast is $0.39. This value is a 21.88% increase compared to the exact same quarter last year. Within the past year, LKQ has met analyst expectations twice and beat the expectations for the latter two quarters. Credible Source reports that the 2016 Price to Earnings ratio for LKQ is 18.13 vs. an industry ratio of 21.00. Watch out for static in the first candle folks. This seems to be a trend where people base their opinion, and position execution off of the industry ratio. Drives me crazy that people have the gull to judge a company by solely industry standards. That's like judging a firms quarterly profits without even peeking at the balance sheet....disgusting!! These are people you definitely want to keep a 10-foot radius away from.
Thanks for your time!
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