Stride (LRN) is an early-stage turnaround opportunity setting up in a textbook consolidation pattern.
Pullbacks have shrank from 28% to 9% as volatility compressed into a tradeable window. There was clearly heavy supply at the $36 mark, but it appears buyers have now worked their way through it, creating a "line least resistance" as Jesse Livermore would say at that level.
LRN should now be free to move higher, and even a slight increase in demand will likely have cause a significant rise in price.
I shared this idea last week and wanted to update the trade idea now that it has hit my entry trigger.
I am working a stop below last week's range at 32.60.
Pullbacks have shrank from 28% to 9% as volatility compressed into a tradeable window. There was clearly heavy supply at the $36 mark, but it appears buyers have now worked their way through it, creating a "line least resistance" as Jesse Livermore would say at that level.
LRN should now be free to move higher, and even a slight increase in demand will likely have cause a significant rise in price.
I shared this idea last week and wanted to update the trade idea now that it has hit my entry trigger.
I am working a stop below last week's range at 32.60.