DAR — MA20 Pullback
A record of what was known at entry, what the trade actually delivered, and what can—and cannot—be concluded from the result.
DAR was being treated as a pullback within an existing Stage 2 uptrend. The setup depended on price stabilizing around the rising MA20 area and then resuming higher. The scanner also identified nearby resistance around $64.84. The preplanned stop was $58.92.
The frozen entry record states that earnings-date information was unavailable. This post-mortem does not assume that the risk was checked elsewhere unless that verification is separately recorded.
View original frozen thesis
Darling Ingredients is posting extraordinary EPS growth (2914% YoY) on solid revenue expansion, signaling operational momentum. The chart is clean: Stage 2 confirmed, all eight trend criteria passing, MA200 rising, and price holding 2.6% above the MA20 support level at $61.28. This is a pullback entry setup with tight risk. You're 3.85% from your stop below MA20, which is tradeable but leaves little room for noise. The stock is only 3% below its 52-week high, so a break above $64.84 opens meaningful upside. Volume is drying (0.03x average), which is constructive for a base. Critical: earnings date is not available in the data—check your broker before entering. A surprise earnings announcement within 10 days changes the risk profile entirely. Confirmation the trade is working: price holds above MA20 and closes near the highs. Invalidation: a close below $59.75 (the structural MA20 level) breaks the stage. Best entry window is 10:00–10:30 AM after opening volatility settles—confirm price is holding near MA20 before entering.
The exit price finished $6.18 above the $62.69 entry and above the $64.84 level identified in the frozen thesis. That establishes that the stock ultimately moved through the nearby resistance identified at entry. This record does not contain enough path data to state precisely how price behaved around MA20 on each day of the hold, how much adverse excursion occurred, or what volume did during the advance.
DAR is a useful example of a defined-risk pullback trade producing the intended outcome. The important lesson is not simply that the stock won. At entry, the scanner identified a specific setup and a specific point where the trade would be wrong; the position then reached its target within 10 days. One winning trade does not establish that every rubric component was predictive, that any one factor caused the move, or that the methodology should be reweighted.