Ford has been in this pennant for the past couple months, dating back to June 2022. Which means that whatever move we get out of this pennant will be big. Using the $11 mark as a very strong support and the blue trend line as a resistance, there have been no breakouts from this pennant. On the monthly we can see tremendous support at the $11 mark with both the 50 and 200 ma acting as a support, however price action really has not made up its mind. The weekly chart as of recent has seemed bearish with higher bearish volume than bullish volume
Remember, price action is more keen to follow the trend as opposed to reverse. As of now we are still in a downtrend. Will we reverse? Will we break below and fall? Only time will tell. If we fall I see price falling to $9, if we reverse I see price going to $15. Better now to sit on cash and wait for price to tell us what directional play we should get into.
what do you think would be a good entry point? I feel like the stock is going to pop!
MoRafi
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@hillwake Good entry point would be 11. Lmits your downside risk. If it breaks out before that I always make sure to get in on a retest after a breakout rather than the breakout itself.