CAKE rises on VWAP bounce LONG
CAKE on a 30-minute chart with a set of VWAP band lines anchored back one month shows
the cycle of a trend up from a good earnings report into the uppermost band lines followed
by a retracement down to the slowly rising mean VWAP where after consolidation and
testing of that support, price has begun a new trend up. This is confirmed by EMA line
convergences as well as RSI strength bullish divergence prior to the price action reversal.
I will take a long trade here targeting 39 and 41 price levels reflecting the upper VWAP band
lines. These are roughly 5 and 10% as realistic targets with a stop loss below the mean VWAP
line at 36.8.
the cycle of a trend up from a good earnings report into the uppermost band lines followed
by a retracement down to the slowly rising mean VWAP where after consolidation and
testing of that support, price has begun a new trend up. This is confirmed by EMA line
convergences as well as RSI strength bullish divergence prior to the price action reversal.
I will take a long trade here targeting 39 and 41 price levels reflecting the upper VWAP band
lines. These are roughly 5 and 10% as realistic targets with a stop loss below the mean VWAP
line at 36.8.
Trade active:
Price moved up a bit and so the stop loss was raised 2%. Staying patient this is a long swing trade.
Trade active:
Comment:
Now closer to the first target.