The MS Operation was Terminated
Morgan Stanley ( MS:NYSE ) was a leader in the minor correction that took place in the S&P 500 Index ( $SPX:NYSE ) in the last session. The stock price continued to correct until it reached 26.92 where it along with the Index reversed and continued rising to find a Resistance level. On seeing that a natural reversal Fibonacci sub level had been tested the operation [ Short ] was terminated . While the gain was less than anticipated the Operation was a success and the patient MS remains on the watch list .
We will be watching for a relapse in the coming sessions as there will may be a stronger correction when this rally is terminated.
Detail of the Trade in Shorting Morgan Stanley ( MS )
l 27.90 [B]
l
l 27.80 [C]
l 27.60 [A]
l 26.95 [E]
l 26.92 [D] -
[A] - [B] : 2/16 - 2/17 : 27.60 to 27.90 - Interval for initiating Shorts
[C] : 2/16 For discussion - level at which short initiated - range 27.36 - 27.93
[D] : 2/19 : Tested Fibonacci F0.382 sub level @ 26.93; natural reversal level
[E] : 2/19 : Closed trade @ 26.95 , gain $0.85 / share
