Technical Analysis
Since the start of the year, eBay has trended up in a clear channel, where the support line is the 100sma.
Since the test of the upper trend-line of the channel, eBay has retraced 10% and is sitting on the 100sma.
Stochastic RSI has been helpful to signal retracement from one side of the channel to the other. When the SRSI is oversold (under 20) and the %K (blue) goes over %D (orange), it has been a great entry. On the other hand, when the SRSI is overbought and the %D crosses above the %K, it has been a place to take profits. The SRSI cross signal has not happened.
Trade Setup
Risk-reward-ratio is fantastic, with a stop under the 100sma (Average True Range is 2.12 pts.) and a profit-exit at the top of the channel.
Since the start of the year, eBay has trended up in a clear channel, where the support line is the 100sma.
Since the test of the upper trend-line of the channel, eBay has retraced 10% and is sitting on the 100sma.
Stochastic RSI has been helpful to signal retracement from one side of the channel to the other. When the SRSI is oversold (under 20) and the %K (blue) goes over %D (orange), it has been a great entry. On the other hand, when the SRSI is overbought and the %D crosses above the %K, it has been a place to take profits. The SRSI cross signal has not happened.
Trade Setup
Risk-reward-ratio is fantastic, with a stop under the 100sma (Average True Range is 2.12 pts.) and a profit-exit at the top of the channel.
Comment:
Taking 30% off, trade is not performing as expected