Existing Position: Long SGG: 27.32 ATR: .87
Name of Instrument: iPath Bloomberg Sugar TR ETN
Current Price: 28.09
***NOTE: the 100 DMA has not cleared since June 2014. If it fails there again, we will tighten the stop. If clears, will consider an add!
Sell Stop: 24.74-no time confirm necessarily but expect a limit order if the stop starts to get close
Reason For Trade: Essentially in a downtrend since mid-2011, I have been hawking for a bottom for some time. Over 29.05 on a weekly closing basis, would be a great confirmation but for now, after a confirmed bottom formation on August 24th, we bought on the basis of a phase change to recovery. Our risk is not quite to the low of that bottom, rather under just under the high of that day since that would suggest the bottom will not hold.
First Target: For now, will hold off on a target and instead, if can get to 2 ATRs will go to a no loss stop and reevaluate.
