{"id":20108,"date":"2012-07-18T10:20:35","date_gmt":"2012-07-18T14:20:35","guid":{"rendered":"http:\/\/www.smbtraining.com\/blog\/?p=20108"},"modified":"2012-07-18T10:20:35","modified_gmt":"2012-07-18T14:20:35","slug":"how-to-tell-a-stock-is-breaking-down-edu","status":"publish","type":"post","link":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu","title":{"rendered":"How to tell a stock is breaking down (EDU)"},"content":{"rendered":"<blockquote><p>Bella,<\/p>\n<p>A couple quick questions on EDU based on what you were discussing in the meeting after the close:<\/p>\n<p>I was watching EDU and felt that the 15.70 level was more important intraday support than 15.50. The push down to 15.50 happened simultaneously with the market exhausting its downtrend before pulling back, and at the time it looked like EDU did the same. Then after 15.70 held and the couple hours of price action in the range, EDU headed steadily down into 15.70, broke through and spent time below and at that point it seemed to me the stock was different and heading lower.\u00a0 (see my Trade Management below)<\/p>\n<p>Is that a reasonable evaluation of those levels or is that a bit of overthinking?<\/p>\n<p>Even if that analysis is right should I wait to get short below 15.50 regardless because the probability \/ R:R from 15.70 could be lessened even if 15.00 and then 14.00 are the targets on the short?<\/p><\/blockquote>\n<p style=\"text-align: center;\"><a href=\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter  wp-image-20109\" title=\"edu\" src=\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png\" alt=\"\" width=\"595\" height=\"361\" srcset=\"\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png 944w, \/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu-300x182.png 300w\" sizes=\"auto, (max-width: 595px) 100vw, 595px\" \/><\/a><\/p>\n<p style=\"text-align: left;\"><strong>BELLA RESPONDS<\/strong><\/p>\n<p style=\"text-align: left;\">This is a great question.\u00a0 When can you tell a stock is continuing its trend?\u00a0 What price is more important 15.70 or 15.50 with this EDU trade?<\/p>\n<p style=\"text-align: left;\">As I trader it is most important to be asking the right questions and then for you to make sense of your decision.\u00a0 You did ask the right question and you do have the right areas of decision.\u00a0 So let&#8217;s not undervalue the excellent work there by you.<\/p>\n<p style=\"text-align: left;\">Second you will develop a personality as a trader.\u00a0 If you are an aggressive trader you will gravitate towards the short below 15.70.\u00a0 If you are a more active trader the same.\u00a0 If you are a conservative trader you might decide between these levels depending on some variables.<\/p>\n<p style=\"text-align: left;\">You could have decided: I will add to my EDU short if I see EDU holding below 15.70 because it has not held below there.\u00a0 If you do so you should also still consider whether to add below the 15.50 level.<\/p>\n<p style=\"text-align: left;\">The first move down to the 15.50s was a quick move so you could conclude that because of a lack of time down there at those prices that that was not as significant as the 15.70 level.\u00a0 A lack of time, a lack of volume at prices can be a factor to conclude another level is more significant.<\/p>\n<p style=\"text-align: left;\">One thing not to miss with EDU is that it acted cleanly around the 15.50 with its second pass.\u00a0 It held 15.50 but then the offer stuck 15.62.\u00a0 EDU dropped below the level AND then stuck the offer at 15.55, lower than 15.62.\u00a0 It is optimal for us to see a hold below 15.50 on the offer to confirm a downtrend continuation pattern.\u00a0 We didn&#8217;t get that but we did see the holds and meek upmoves to 15.62 and 15.55, a sign of weakness.<\/p>\n<p style=\"text-align: left;\">Good review of your trading!<\/p>\n<p style=\"text-align: left;\">Bella<\/p>\n<p style=\"text-align: left;\"><a href=\"http:\/\/www.amazon.com\/One-Good-Trade-Competitive-Proprietary\/dp\/0470529407\/ref=cm_cr_pr_product_top\">One Good Trade<\/a><\/p>\n<p><a href=\"http:\/\/twitter.com\/smbcapital\"><img decoding=\"async\" src=\"http:\/\/twitter-badges.s3.amazonaws.com\/follow_me-c.png\" alt=\"\" \/><\/a><\/p>\n<p>no relevant positions<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bella, A couple quick questions on EDU based on what you were discussing in the meeting after the close: I was watching EDU and felt that the 15.70 level was more important intraday support than 15.50. The push down to 15.50 happened simultaneously with the market exhausting its downtrend before pulling back, and at the time it looked like EDU &#8230; <a href=\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":144,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1,10],"tags":[2045,30,1828,2044,1996,1354,1989],"class_list":["post-20108","post","type-post","status-publish","format-standard","hentry","category-general-comments-2","category-mike-bellafiore-bellas-blogs","tag-edu","tag-prop-trading","tag-smbu","tag-trader-taining","tag-trading-class","tag-trading-coach","tag-trading-course","no-post-thumbnail"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to tell a stock is breaking down (EDU) | SMB Training<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to tell a stock is breaking down (EDU) | SMB Training\" \/>\n<meta property=\"og:description\" content=\"Bella, A couple quick questions on EDU based on what you were discussing in the meeting after the close: I was watching EDU and felt that the 15.70 level was more important intraday support than 15.50. The push down to 15.50 happened simultaneously with the market exhausting its downtrend before pulling back, and at the time it looked like EDU ... Read More\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu\" \/>\n<meta property=\"og:site_name\" content=\"SMB Training Blog\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/smbcap\/\" \/>\n<meta property=\"article:published_time\" content=\"2012-07-18T14:20:35+00:00\" \/>\n<meta property=\"og:image\" content=\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png\" \/>\n<meta name=\"author\" content=\"Bella\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@smbcapital\" \/>\n<meta name=\"twitter:site\" content=\"@smbcapital\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Bella\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu\"},\"author\":{\"name\":\"Bella\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#\/schema\/person\/80500a901d0e5ce0a27fa996bb1b9161\"},\"headline\":\"How to tell a stock is breaking down (EDU)\",\"datePublished\":\"2012-07-18T14:20:35+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu\"},\"wordCount\":469,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#primaryimage\"},\"thumbnailUrl\":\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png\",\"keywords\":[\"EDU\",\"prop trading\",\"smbU\",\"trader taining\",\"trading class\",\"trading coach\",\"trading course\"],\"articleSection\":[\"General Comments\",\"Mike Bellafiore's (Bella's) Blogs\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu\",\"name\":\"How to tell a stock is breaking down (EDU) | SMB Training\",\"isPartOf\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#primaryimage\"},\"thumbnailUrl\":\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png\",\"datePublished\":\"2012-07-18T14:20:35+00:00\",\"breadcrumb\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#primaryimage\",\"url\":\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png\",\"contentUrl\":\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.smbtraining.com\/blog\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"How to tell a stock is breaking down (EDU)\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#website\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/\",\"name\":\"SMB Training Blog\",\"description\":\"Lessons from the trading desk\",\"publisher\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.smbtraining.com\/blog\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#organization\",\"name\":\"SMB Training\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2022\/07\/Logo-e1658419502954.png\",\"contentUrl\":\"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2022\/07\/Logo-e1658419502954.png\",\"width\":230,\"height\":81,\"caption\":\"SMB Training\"},\"image\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/smbcap\/\",\"https:\/\/x.com\/smbcapital\",\"https:\/\/www.youtube.com\/user\/smbcapital\"]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#\/schema\/person\/80500a901d0e5ce0a27fa996bb1b9161\",\"name\":\"Bella\",\"description\":\"Mike Bellafiore is a co-founder of SMB Capital, a day trading firm which takes great pride in its exceptional training program. SMB Capital is an equity prop trading desk that trades on 5th Avenue in New York City. Mr. Bellafiore is a graduate of the University of Connecticut School of Law. He has traded professionally for more than a decade.\",\"sameAs\":[\"https:\/\/www.smbtraining.com\/blog\/bellas-blog\"],\"url\":\"https:\/\/www.smbtraining.com\/blog\/author\/bella\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"How to tell a stock is breaking down (EDU) | SMB Training","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu","og_locale":"en_US","og_type":"article","og_title":"How to tell a stock is breaking down (EDU) | SMB Training","og_description":"Bella, A couple quick questions on EDU based on what you were discussing in the meeting after the close: I was watching EDU and felt that the 15.70 level was more important intraday support than 15.50. The push down to 15.50 happened simultaneously with the market exhausting its downtrend before pulling back, and at the time it looked like EDU ... Read More","og_url":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu","og_site_name":"SMB Training Blog","article_publisher":"https:\/\/www.facebook.com\/smbcap\/","article_published_time":"2012-07-18T14:20:35+00:00","og_image":[{"url":"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png","type":"","width":"","height":""}],"author":"Bella","twitter_card":"summary_large_image","twitter_creator":"@smbcapital","twitter_site":"@smbcapital","twitter_misc":{"Written by":"Bella","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#article","isPartOf":{"@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu"},"author":{"name":"Bella","@id":"https:\/\/www.smbtraining.com\/blog\/#\/schema\/person\/80500a901d0e5ce0a27fa996bb1b9161"},"headline":"How to tell a stock is breaking down (EDU)","datePublished":"2012-07-18T14:20:35+00:00","mainEntityOfPage":{"@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu"},"wordCount":469,"commentCount":0,"publisher":{"@id":"https:\/\/www.smbtraining.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#primaryimage"},"thumbnailUrl":"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png","keywords":["EDU","prop trading","smbU","trader taining","trading class","trading coach","trading course"],"articleSection":["General Comments","Mike Bellafiore's (Bella's) Blogs"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu","url":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu","name":"How to tell a stock is breaking down (EDU) | SMB Training","isPartOf":{"@id":"https:\/\/www.smbtraining.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#primaryimage"},"image":{"@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#primaryimage"},"thumbnailUrl":"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png","datePublished":"2012-07-18T14:20:35+00:00","breadcrumb":{"@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#primaryimage","url":"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png","contentUrl":"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2012\/07\/edu.png"},{"@type":"BreadcrumbList","@id":"https:\/\/www.smbtraining.com\/blog\/how-to-tell-a-stock-is-breaking-down-edu#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.smbtraining.com\/blog"},{"@type":"ListItem","position":2,"name":"How to tell a stock is breaking down (EDU)"}]},{"@type":"WebSite","@id":"https:\/\/www.smbtraining.com\/blog\/#website","url":"https:\/\/www.smbtraining.com\/blog\/","name":"SMB Training Blog","description":"Lessons from the trading desk","publisher":{"@id":"https:\/\/www.smbtraining.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.smbtraining.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.smbtraining.com\/blog\/#organization","name":"SMB Training","url":"https:\/\/www.smbtraining.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.smbtraining.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2022\/07\/Logo-e1658419502954.png","contentUrl":"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2022\/07\/Logo-e1658419502954.png","width":230,"height":81,"caption":"SMB Training"},"image":{"@id":"https:\/\/www.smbtraining.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/smbcap\/","https:\/\/x.com\/smbcapital","https:\/\/www.youtube.com\/user\/smbcapital"]},{"@type":"Person","@id":"https:\/\/www.smbtraining.com\/blog\/#\/schema\/person\/80500a901d0e5ce0a27fa996bb1b9161","name":"Bella","description":"Mike Bellafiore is a co-founder of SMB Capital, a day trading firm which takes great pride in its exceptional training program. SMB Capital is an equity prop trading desk that trades on 5th Avenue in New York City. Mr. Bellafiore is a graduate of the University of Connecticut School of Law. He has traded professionally for more than a decade.","sameAs":["https:\/\/www.smbtraining.com\/blog\/bellas-blog"],"url":"https:\/\/www.smbtraining.com\/blog\/author\/bella"}]}},"_links":{"self":[{"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/posts\/20108","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/users\/144"}],"replies":[{"embeddable":true,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/comments?post=20108"}],"version-history":[{"count":0,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/posts\/20108\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/media?parent=20108"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/categories?post=20108"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/tags?post=20108"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}