Genuine Parts Company (GPC)
DISCLAIMER: THE INFORMATION ON THIS BLOG IS FOR EDUCATIONAL PURPOSES ONLY. NO FINANCIAL ADVICE IS GIVEN BY ANY MEANS AND EACH INDIVIUAL IS RESPONSIBLE FOR HIS OR HER OWN ACTIONS.
2022-06-19
Current position: None
Initial stop-loss: -
GPC never managed to break-out and close above it's previous ATH and joined the general theme of the market and sold-off.
Position stopped out and we'll see if the remainder of the count remains valid or not later on, i.e. the (intermediate) wave count can still be valid.
2022-06-08
Current position: LONG from $140,64
Initial stop-loss: $128
The Genuine Parts Company is potentially on it's way to set a new ATH (closing price) on the weekly timeframe suggesting that trend continuation might be on it's way thus ending a consolidation period.
A weekly CLOSE above $140.20 would also confirm the hidden positive divergence on the weekly TF.
Price respects the weekly lower Bollinger bands (1 and 2 deviations) which indicates underlying strength supporting the idea of a potential continuation break-out on the upside.
As always more noise on the lower timeframe, but it is possible to count impulsive wave structures within this move, suggesting that a potential larger fifth primary wave advance has begun.
Trade idea
Trade parts of the potential larger trend continuation move in GPC.
Define potential setups using Elliot Waves and let failed momentum divergences and/or price breakouts trigger the actual entries.
For my part, the initial idea is to make an add-on by 1/3 when price completes the next pullback and then add the remaining 1/3 upon fresh break-out above the current price top.
I will try to remain in the bulk of the trade as long as no hidden positive divergence is violated on the daily timeframe.
Some profit taking (1/3) might be done on the slightly lower (2h) timeframe.
As always, plans tend to not surive the clash with reality...but anyway..
Finally, the purpose of this write-up is to help structuring myself and get some sense of accountability.
Hope you enjoy it!
