If price bounces from this resistance and drops below the local uptrend line, it will be a signal confirming further falling and continuation of the . The breakout can be used for opening short trades with stops above 200.00 and profit targets at 160.00 level.
If the price can move above 200.00 level, we will get a trend reversal confirmation and buy opportunity based on this signal. But the upward movement can be limited by the main downtrend line. Breaking above the main will give one more confirmation for the trend reversal. From that moment it will be possible to search for buy opportunities based on breakout and reversal signals. The market will be ready to start a new .
we just need to be careful about fake breakouts, 2 daily candles already closed above but then the stock went back down again,
maybe for this one it'd be a better and conservative trade to wait further confirmation after the breakout above 200 IMO of course =)
have a gread day!
Thanks for your comment! Have a nice day too)