Issued: 04/24/2015
Rackspace hosting, RAX:
1. Since Mar. 2015 we have noted that any weekly or daily close above $51.00 in Rackspace hosting would prompt a tradable advance and test/attempt at $56.00.
2. Today’s (Fri., April 24) session broke out on the upside making a recent swing high a $54.91. Higher prices remain likely.
3. Those long should place a protective sell stop at $53.70 and continue holding for higher prices. This stop will be moved higher as the market continues to confirm.
David Williams
Issued: 04/27/2015
Rackspace hosting, RAX:
1. Since Mar. 2015 we have noted that any weekly or daily close above $51.00 in Rackspace hosting would prompt a tradable advance and test/attempt at $56.00. Subsequently, Rackspace closed above $51.00 and has remained above that level on daily closes, confirming our long entry.
2. During last Thurs., April 23 Williams edge stock meeting it was noted that an upside breakout during the week of April 27 was indicated for completion of the $56.00 upside target. An additional long entry was suggested upon a daily close above $54.00 for the completion of the $56.00 upside target expected this week (week of April 27).
3. Today (Mon., April 27) Rackspace hosting advance powerfully and completed the forecast $56.00 upside target. This resulted in a successful trade.
4. Any remaining long positions can be held for the possibility of a trend following exit at higher prices.
5. If holding for a trend following exit a protective sell stop should now be placed at $54.50.
David Williams