AMCN has been on my shorts watchlist for about a month. It has been predictably choppy. I've just stayed away from it because it was so messy. No clear setups. Today I finally saw a good enough short setup as a second bull flag failed on the daily charts you can see below. Well, technically it was retest of the first failed bull flag.
This is the last "flag" trend support I was looking to see get taken out. This is a four day chart.
After it took out the 4.40 support I shorted at 4.38 a share. It was an easy trade because it just dropped off a cliff all the way down to 4.13. It looked a little oversold then at 4.14 and I started a market order to cover if it was going to go to 4.16. Right around the bottom at 4.13, 4.14 the bid and ask started to go crazy. There were atleast 12 changes on the bid and ask in 3 seconds. I think they even flipped. In other words the ask price of say 4.15 switched to 4.13 and the bid 4.13 was 4.15. Muddy would call this "jiggy", started to "jig". That was enough for me so I covered at 4.15 and sure enough that was the very bottom. The stock started a gradual climb after that.
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