Buy Bottom In Two to Four Weeks - Sell One To Two Months Later

This is in a downward channel with a period of two to three months. We appear to be coming down from a local maximum, with approximately two to four weeks until another bottom. When the price gets to the bottom trend line, it's time to buy. Then watch for a retest of the upper trend line. Sell, or wait for a break out at your leisure. Happy trading! For fun, educational purposes only, of course.

Alternative scenario: we make a double bottom around $1.70, above the lower trend line, before rebounding.

Trade active:

Now is the time to start watching for an entry, and possibly even scaling into a small position.

Trade active:

I have not yet begun scaling in. With the market dumping that's ongoing, I would not be surprised to see this one get much closer to $1 before turning around.

Comment:

Feeling that $1 incoming this week, though we may be moving into resistance. COVID-19 has accelerated and amplified the anticipated drop.

Comment:

Bounced hard off $1 (actually $0.99). If you had bought at $1, you could have sold a day later for +15%. This one may breach $1 again if the plunge continues. Get ready to scale in...some day.

Trade closed: target reached:

Comment:

Two months to the day after I started this idea, and we're back at a local max. If you want to keep trading the channel, and assuming it doesn't break out from here, look for another bottom in about four weeks, give or take a week.

Trade closed: target reached:

Ideal buy was $1. Channel is invalidated, but breached around $2.07. If I had played this as smartly as I could have, I'd have doubled my money.