Record Volume and Room to Run

 

The month has come to an end, and what a month it has been for RDW. Looking at the monthly chart above, the first thing that jumps out is the record volume we’ve seen. Seriously, just look at that massive spike and what’s even more interesting is that we aren’t even overbought on the monthly chart yet. That tells me this isn’t a climactic top; it feels more like an igniting move that still has room to run. In my opinion, I think we still have a lot more upside ahead, and that makes this setup particularly exciting.

Shifting to the daily chart on the right, I’m looking closely at RDW with its simple moving average of the lows. I can’t tell you how many times this moving average has acted like a roadmap for me, helping me pinpoint some really solid pullbacks. Each time price has approached this average, it has provided consistent support, giving me confidence that it’s a level worth paying attention to. Right now, that moving average sits at about $11, and that’s the level I’m focusing on for potential entries.

I’m not going to just blindly buy at $11, though. I want some kind of confirmation on a lower timeframe before stepping in. I’ll be looking for signals like bottoming tails, engulfing bars, trendline breaks, or relative strength showing up. If any of those signs appear once RDW tests the $11 area, that’s when I’m planning to get involved. This approach gives me both a clear price level to focus on and a structured way to confirm that the pullback is legitimate.

What excites me most about this setup is the combination of huge monthly volume without being overbought and a daily moving average that’s proven itself repeatedly as support. That’s a rare mix, it gives me confidence that we aren’t looking at a short-term spike but a move with more legs. Patience will be key here. I’ll wait for the test of $11 and the confirmation I’m looking for, and when it lines up, I’ll be ready. RDW has been giving signals I can trust recently, and this looks like another opportunity to take advantage of the trend while respecting risk. I’m optimistic heading into the next month and ready to make my move if the setup delivers.

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