SLF March 25

SLF March25

SLF march25 2

Here is an update on Sunlife. It is now almost at $24 from just under $15 (so you should not own it if you work with the 30% rule). So where do we go from here? (Top chart is arithmetic, lower one log-scale). I normally hesitate to count “corrective” moves as they are very erratic and all over the map but this one provides an opportunity to make the 30% twice. The stock dropped from about $55 to $15 or roughly $40. It is “normal” to get a retracement of about 50-62%, (Gartman’s Box) so if we stick to the lower end of the range the stock could reach 15+20=35 on a rebound but it will not do it in a straight line. More often than not it will retrace 1/2 or so of the up move that has already occurred. So wait for it to get to about 18/19 and then buy it again.