Replies to post #49086 on "House of Pinchers" (Pinch)

[naturalborninvestor]

when the ppo is below -10, it's a very highly distressed stock

That's not the case necessarily. The magnitude of the ppo is linked to the share price. You will rarely find a big board stock with a ppo <-10 unless it is highly distressed. But you will see many penny stocks with a ppo <-10

In other words, the desired magnitude of the ppo line in a pincher setup is not a determinant of risk willingness, but of the price range you are willing to play pincers.

[charger]

Hope you don't mind that I added the post on reply as a sticky..
I think many on here will find it interesting.

[BottomBounce]

$GEVO now breaking through 50dma...