Cup & handle formation going on here, a pattern that works great most of the time. More than one way to read this for sure, but we are consolidating near a previous high, and price show much less resistance agains 170 now than last time. It's also a nice looking pullback and thats the pattern I'm actually trading here, and when this happens at previous highs, it often leads to great breakouts.
I'm entering when we break above the pullbacks DT-line (that's now). This is a long term swingtrade with wide targets and stop-loss. First target at 177, but I think 186 is realistic by the end of the year.
Thanks for your post SirOas, in my most recent analysis interestingly I identify another cup and handle that has manifested very recently. I'm curious as to how you arrived at a target of 177, using the depth of your cup from the end of its handle that would equate to 173
SirOas
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@TNasr, Thats interesting, unfortunatly they failed this time.
I considered this to be more of an swingtrade on the weekly, where I went on daily timeframe to justify an entry. Not how I usually do it though. Usually I place my initial stop-loss 3 ATR from entry, and my first target where I sell half of posistion 3 ATR above, and if needed I adjust a little if there are important S/R-levels or trend lines to take into consideration. This would have given me a target at 173,5
After today I have decided to close this trade. I think we are back to bearish/neuteral for the near-term, so I'll rather look to buy it back cheaper.