$ALAB Forming a Megaphone Pattern

ALAB has seen a lot of volatility as of late. I took a position in it and was stopped out for a loss due to that volatility.

I may be too fixated on this name, but I want to get involved as I think it has a chance to run to previous highs. I thought it had formed a cup with handle pattern, and I got involved on Wed. June 18th only to get stopped on Monday, Jun 23rd. I have been watching it since.

Now it appears it is forming a megaphone pattern. These patterns usually resolve in the direction of the last trend. In this case that trend was up. I like too that the 50 DMA (red) is in an uptrend. I have an alert set on the upper trendline resistance area. Should that trigger, I will look for a good risk reward entry.

If you like this idea, please make it your own and follow your trading plan. Remember, it is your money at risk.