On October 11, 2010, AG/grain ETF (DBA) was breaking above a two year trend channel in the chart below. (see post here) The suggestion at the time was to buy the breakout with stops.
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Below is an update on DBA after the breakout…reflecting a 20% increase in DBA, post breakout.
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I’m sharing this for two reasons…..The lower chart reflects that following breakouts can be good for a portfolio and if long DBA, tight stops should be considered right now.
Will be updating the chart soon. Am open to scoring on defense due to the situation at (2), yet not at this moment!
