How To Find Keyser Soze Killer Setups
“How do you shoot the devil in the back? What if you miss?” – Keyser Soze, The Usual Suspects
INMB?exploded above its 50 day line in early June, running up 100% within weeks.
The large range bars at the July highs were climatic, signaling a well deserved pullback.
The pullback saw INMB return to “the pivot” where it impulse from in June.
In early August, INMB left a Gilligan buy signal.
This is a strategy I created that does a good job of defining exhaustion (up and down).
Gilligan buys are gaps down to new 60 day lows with a close at/near session highs.
INMB proceeded to walk up to its 50 day moving average, which it cleared on August 23.
It exploded higher 3 days later, but tailed off.
The next day, INMB turned its dailies down but rallied to close near session highs.
This is the criteria for my TD or first Turndown buy signal.
In other words, this was the first turndown on the Daily Swing Chart following the impulse over the 50 day moving average.
The subsequent behavior after the turndown was bulling.
We issued a buy signal on the Hit & Run private Twitter feed the next day, getting filled at 23.19.
On Tuesday, we tweeted that INMB looked poised to test all time highs.
On Wednesday after the bell, INMB exploded to 28 where we trimmed.
In sum, fast moves come from false moves. When last Thursday’s reversal bar (August 26) was cleared decisively on Monday, INMB was telegraphing higher.
It was a classic Reversal of a Reversal, or what I call a Keyser Soze signal.
These are often killer setups.
This morning INMB is pulling back to the 25.50 region for a possible Side Door Entry following Wednesday’s explosion and members have trailed a protective stop on the balance of the position.
Hit & Run, Trim & Trail.
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-Jeff Cooper for T3 Live