After last week’s exciting surge, DexCom has pulled back, offering investors what I hope will be one last shot at accumulating a position in the stock. Here’s the chart:

On a short term basis, the stock is telling me the ideal level to pick it up would be around $18. That’s a perfect 61.8% retracement of the last surge. The last time I excercised this disclipline, I picked the stock up at $16.80, within one penny of the retracement.

I am very confident this is a great buying opportunity, not a forecast of a negative event. I am letting volume be my guide. Note the circled volume bars. Here’s the important point- look at the huge difference in volume on the way up than on the way down. Therefore it is under accumulation by the bigger money.

Based on analysts reports I have read and the way the stock is behaving, I believe the FDA Approval is imminent. If you aren’t on board or want to add to your position, I hope this is the last chance.

Comments and questions are welcome.