CBAT

CBAT was simply beautiful. Held the previous intraday peak perfectly. Remember that old resistance becomes new support! Not to mention you have that mental whole dollar level at $2.00. Plus just looking at it, you can see how extended it fell,

at 43% of its opening price. It really is a picture perfect dip buy opportunity. And when you look at the volume, you can see it tops out right at the bottom. When the volume ramps up then maxes out, it's usually a good sign that the sell-off has ended.

 

SUNW

I like to use technical levels on charts. by technical levels I'm referencing the dashed blue lines that correspond with key support and resistance areas on the daily chart. As you can see in the green highlighted box, there is a key area

with multiple points touching. You also gave a gigantic drop within two days from $8.50 all the way to $1.88. In similar fashion to CBAT, we see that basing around the psychological whole dollar level, both situations being $2.

 

One thing to note with both these dips as well as many dips you will encounter going forward, is that they usually make it to VWAP then bounce back down. In many situations VWAP is a good profit target. Sometimes they do go beyond VWAP, but that's

usually when the uptrend is still in effect versus the backside fade.