How the (EFC) price action is used to our Advantage

October 10, 2024, 12:08 pm ET, BY Bill- Contributor| Editor: Thomas H. Kee Jr. (Follow on LinkedIn)

Our job as #investors is to pay attention to the #stocks we own.  Part of that involves looking at the #fundamentals, but half of the disclosure comes from looking at price action. The  Ellington Financial Inc. (NYSE: EFC) data table below can help you with price action, and we have more details too. Trading plans for EFC are shown here too; these plans are updated in real time for subscribers, where this report is static. If you want an update, or a report on a different stock, please get one here Unlimited Real Time Reports.

Longer Term Trading Plans for EFC

• Buy EFC near 11.69 target 12.46 stop loss @ 11.66 Details

The technical summary data tells us to buy EFC near 11.69 with an upside target of 12.46. This data also tells us to set a stop loss @ 11.66 to protect against excessive loss in case the stock begins to move against the trade. 11.69 is the first level of support below 12.405 , and by rule, any test of support is a buy signal. In this case, support 11.69 would be being tested, so a buy signal would exist.

• Short EFC slightly under 12.46, target 11.69, stop loss @ 12.5 Details

The technical summary data is suggesting a short of EFC as it gets near 12.46 with a downside target of 11.69. We should have a stop loss in place at 12.5though. 12.46 is the first level of resistance above 12.405, and by rule, any test of resistance is a short signal. In this case, if resistance 12.46 is being tested, so a short signal would exist.

Swing Trading Plans for EFC

• Buy EFC slightly over 12.46, target n/a, Stop Loss @ 12.42 Details

If 12.46 begins to break higher, the technical summary data tells us to buy EFC just slightly over 12.46, with an upside target of n/a. The data also tells us to set a stop loss @ 12.42 in case the stock turns against the trade. 12.46 is the first level of resistance above 12.405, and by rule, any break above resistance is a buy signal. In this case, 12.46, 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 EFC slightly near 12.46, target 11.69, Stop Loss @ 12.5. Details

The technical summary data is suggesting a short of EFC if it tests 12.46 with a downside target of 11.69. We should have a stop loss in place at 12.5 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, 12.46, 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 EFC

• Buy EFC slightly over 12.46, target 13.19, Stop Loss @ 12.43 Details

If 12.46 begins to break higher, the technical summary data tells us to buy EFC just slightly over 12.46, with an upside target of 13.19. The data also tells us to set a stop loss @ 12.43 in case the stock turns against the trade. 12.46 is the first level of resistance above 12.405, and by rule, any break above resistance is a buy signal. In this case, 12.46, 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 EFC slightly near 12.46, target 11.69, Stop Loss @ 12.49. Details

The technical summary data is suggesting a short of EFC if it tests 12.46 with a downside target of 11.69. We should have a stop loss in place at 12.49 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, 12.46, 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.

EFC Ratings for October 10:

Term →	Near	Mid	Long
Rating	Neutral	Weak	Strong
P1	0	0	11.69
P2	12.46	12.42	12.46
P3	0		13.19

Support and Resistance Plot Chart for EFC

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