When the Price of Proshares Ultra Oil & Gas DIG Talks, People Listen

October 09, 2021, 00:15 am ET, BY Thomas H. Kee Jr- Editor, Stock Traders Daily| Editor: Thomas H. Kee Jr. (Follow on LinkedIn)

This is not EF Hutton, but it could be more #powerful.  A picture speaks a thousand words, they say, and the #priceaction of Proshares Ultra Oil & Gas (NYSE: DIG) tells an important story.  The movement tells us where investors perceive value, or the lack of it, and if we pay attention we can capture opportunity.  The data below for DIG can be used as an example, and demonstrate how to do this for other stocks too.  This data was current at the time of publication, but it is not updated in real time here. If you want real time updates, or data on a different stock, please get one here Unlimited Real Time Reports. 

Longer Term Trading Plans for DIG

• Buy DIG slightly over 74.25 target 87.20 stop loss @ 74.04 Details

The technical summary data tells us to buy DIG near 74.25 with an upside target of 87.20. This data also tells us to set a stop loss @ 74.04 to protect against excessive loss in case the stock begins to move against the trade. 74.25 is the first level of support below 79.58 , and by rule, any test of support is a buy signal. In this case, support 74.25 is being tested, a buy signal would exist.

• Short DIG under 87.20, target 74.25, stop loss @ 87.45 Details

The technical summary data is suggesting a short of DIG as it gets near 87.20 with a downside target of 74.25. We should have a stop loss in place at 87.45though. 87.20 is the first level of resistance above 79.58, and by rule, any test of resistance is a short signal. In this case, if resistance 87.20 is being tested, a short signal would exist.

Swing Trading Plans for DIG

• Buy DIG slightly over 80.13, target 87.20, Stop Loss @ 79.9 Details

If 80.13 begins to break higher, the technical summary data tells us to buy DIG just slightly over 80.13, with an upside target of 87.20. The data also tells us to set a stop loss @ 79.9 in case the stock turns against the trade. 80.13 is the first level of resistance above 79.58, and by rule, any break above resistance is a buy signal. In this case, 80.13, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

• Short DIG near 80.13, target 75.37, Stop Loss @ 80.36. Details

The technical summary data is suggesting a short of DIG if it tests 80.13 with a downside target of 75.37. We should have a stop loss in place at 80.36 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 80.13, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

Day Trading Plans for DIG

• Buy DIG slightly over 80.13, target 87.20, Stop Loss @ 79.94 Details

If 80.13 begins to break higher, the technical summary data tells us to buy DIG just slightly over 80.13, with an upside target of 87.20. The data also tells us to set a stop loss @ 79.94 in case the stock turns against the trade. 80.13 is the first level of resistance above 79.58, and by rule, any break above resistance is a buy signal. In this case, 80.13, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

• Short DIG near 80.13, target 77.90, Stop Loss @ 80.32. Details

The technical summary data is suggesting a short of DIG if it tests 80.13 with a downside target of 77.90. We should have a stop loss in place at 80.32 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 80.13, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

DIG Ratings for October 09:

Term →	Near	Mid	Long
Rating	Strong	Strong	Strong
P1	0	0	62.45
P2	74.37	75.37	74.25
P3	77.90	80.13	87.20

Support and Resistance Plot Chart for DIG

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