This JNJ short setup I have been monitoring for quit awhile and its finally showing the type of weakness that I have been waiting to see for me to issue it on a watchlist. This trade setup is important because of the flush up this stock encountered. When these types of runups happen, we can build support (or this thing could puke). It is very important to monitor this trade if the $66 level trades and our setup is active because we could see some serious momo and volatility to the downside in this one. Important downside numbers is the objective #2 of $63 level. If JNJ reaches this level I'm expecting to see an immediate reaction here, but if the selling pressure is intense, $59.50 will a important downside support level for this stock. Note the gaps also on this they could also come into play. Finding the exact downside support number for this one will be difficult, but if it gets to those extreme numbers imo thats a great trade for us (short from $66) Good Trading. Kratrader.
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