LodgeNet Entertainment (LNET) has an interesting technical set up in tact. The stock has created what we technicians refer to as a descending triangle. These formations can result in both bearish or bullish price action depending on the breakout. It is typical to see a bearish breakout, and that's exactly what's taking place in LNET.



The stock broke support at 32.00, and has now retraced to the 32 resistance turned support level. From a technical perspective, this is a solid short entry opportunity. Keep in mind we are still in a strong market and LNET is a strong stock. This isn't a full proof opportunity, but definitely a set up worth pursuing with a tight stop at approximately 32.73.

Andy Swan is co-founder and head trader for DaytradeTeam.com. To get all of Andy's day trading, swing trading, and options trading alerts in real time, subscribe to a one-week, all-inclusive trial membership to DaytradeTeam by clicking here.