Acadia Realty Trust (NYSE: AKR)

Acadia Realty Trust is a real estate investment trust, which engages in delivering operating platforms and investment strategy. It operates through the following business segments: Core Portfolio, Funds, and Structured Financing.

Take a look at the 1-year chart of Acadia (NYSE: AKR) with the added notations:

1-year chart of Acadia (NYSE: AKR)

AKR has formed an important level of support at $10 (green) over the past two months. The stock has repeatedly tried to rally off the mark, and now it looks like it may be headed back down there again. However, if the $10 support were to break, lower prices will likely follow for AKR.

The Tale of the Tape: AKR has key support at $10. A trader could enter a long position at or around $10 with a stop placed under the level. If the stock were to break below the support, a short position could be entered instead.

Before making any trading decision, decide which side of the trade you believe gives you the highest probability of success. Do you prefer the short side of the market, long side, or do you want to be in the market at all? If you haven’t thought about it, review the overall indices themselves. For example, take a look at the S&P 500. Is it trending higher or lower? Has it recently broken through a key resistance or support level? Making these decisions ahead of time will help you decide which side of the trade you believe gives you the best opportunities.

No matter what your strategy or when you decide to enter, always remember to use protective stops and you’ll be around for the next trade. Capital preservation is always key!

Good luck!
Christian Tharp, CMT