Hi Shoppers,

Rambus (Ticker: RMBS) has been rallying since last July.

The rally started on July 5th with the stock trading a low of $20 exactly.

May 30th it traded a high of $68.54 before pulling back to $58.20 yesterday.

This pullback has closed the gap created on May 25th.

The general rule of thumb is that once the gap is closed, the stock will continue in the direction it had been moving.

In this case, RMBS will continue its rally.

On top of closing the gap, yesterday’s action created a bullish engulfing candle.

This signals a rally.

I think RMBS will rally back to, at least, its previous high at $68, and possibly $72.

Trade Review

I called for Block (Ticker: SQ) to break out. I recommended waiting for the stock to consistently trade over $67.

It did not. No trade was made.

Thanks for Reading … See You Next Tuesday,

Licia Leslie