Critical juncture for the [PLUG] trade.

In the backlink I revealed that my buy trigger for PLUG was triggered.  If this model is to hold correct then we now need to see PLUG power (no pun intended) up through the gap which it only, as of yesterday, exactly closed.  Closing that gap without going past is not bullish folks.  It says there is not enough energy on the bid to get past that obvious technical hurdle.  So I am bumping up my stops to $1.72 on this trade because a big long term story is pleasing to the ear but that is like driving in golf.  And in gold you drive for show but putt for dough.  It's true in trading as well. 

While it does not have to happen this way, if we see the major indices selling off while this goes up, breaks the top rail, etc. then picks up speed from there while at the same time commodities catch a bid then I will see that as bullish divergence for PLUG.



Of course, if the major markets are selling off, why would anyone buy this?  Where is any of that buying that I mentioned as being possible, supposed to materialize from?  Well, we can start with the fact that this is thinly traded relative to the float (~2% turnover per day on average) and the fact that it has been in a slow consolidation phase since early 2014.  It likely means those still holding are either true believers or are just treating this as a non-expiring call option at this price.  Time will tell.