International Game Technology Retracts on Low Volume, Buying Opportunity
I found International Game Technology (IGT) back at $39.30ish when it was at heavy support. on 9/15 it broke above $40 on high volume then retracted over the next few days back to around $39, this was opportunity knocking at my door, so I bought at $39.50. It wasn’t but 4 days before the stock shot back up above $40, and this time climbed to $41 then $42 on yet again great volume. Over the last two weeks volume has been relatively average, and the stock has made a move to $43.
Yesterday though, the stock had a late afternoon rally to finish just up on the day after being down nearly a point earlier, closing at $42.83 on high volume. You then enter today, and the stock has fallen $.80 to just below $42 (as of 12:30 PM), but the catch is that volume is a measily 600,000, with the average daily volume at 2.3 million. Not only is this fall unaccounted for, but I think IGT rebreaks $43 and goes to $45 by the end of next week. Look for a strong volume accumulation day to break $43 resistance, and this is your signal to buy into a position. Chart is attached.
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[...] I posted on IGT back in early October here on the blog, and have kept it on my close watch list since. Friday was an accumulation day and showed a price spread to a $42.93 high on the day. Today the stock is up on lighter volume, but is maintaining its stability and is setting up the back side of what could be called a small base. So, add this stock to your watch lists, and look to buy in when the stock breaks $43 ($43.10 buy price) on higher than average volume. The stock is #2 in the Leisure-gaming/equip IBD Industry Group behind Las Vegas Sands (LVS), which reports earnings this week. Share and Enjoy:These icons link to social bookmarking sites where readers can share and discover new web pages. [...]