This is the first time I'm looking at Popeyes Louisiana Kitchen (PLKI), and I see something I like: similarity of the timing of these prior swings down.
These prior and current declines haven't lasted exactly the same amount of time, but the declines have been decently lengthy -- 35, 37 and 44 days -- and the swings quite similar. Now, as far as price is concerned, I see a key Fibonacci price cluster decision, between $37.84 and $38.63, at this last low. Within this cluster is a 100% price extension of the prior swing of $7.70 -- and the most recent decline of $7.45 was similar.
Since this last low was made into the price-cluster zone, we have seen buy triggers fire off on the 30-minute chart. Now, if this last low is any good, then the stock should hold on a pullback to it! In a nutshell, that would be my strategy: to buy the pullback to the last low, with the risk defined below it.
The upside potential in this stock is pretty healthy -- we've got multiple targets from prior swings that come in between $47.80 and $48.19.
I see one important hurdle on the way up, and it comes in at the $41.47-to-$41.79 area. That resistance includes a retracement of one swing and the 1.272 extension of another -- which also overlaps a 100% projection of a prior rally swing.
It's a great idea to save snapshots of these setups on your computer or print them, so you know what the trade parameters are as the market unfolds. I actually suggest that you write down the trade strategy that you are using (options or outright stock purchase) and keep track of where your initial stop is, how you will trail a stop and what your targets are. Make it kind of a visual trading diary. You can always go back to the examples and see what works the best for you.
In any case, as far as Popeye's is concerned, I will consider myself wrong on this trade if the stock takes out the Aug. 22 low.
Also I took a quick look at Trina Solar (TSL). I'm seeing a key support level in this name -- at $11.48 to $11.89 -- and the price is right on top of it.
If Trina continued to hold above that area, I'd take my buy triggers and risk below that same key zone. See the above chart.
Please refer here for more information on trade triggers.
See here for general guidance on Fibonacci trade setups.