As KNC continues in freefall after breaking through its first support, it won't be long until it reaches the strong lower support. As indicated historically using a combination of the Stochastic RSI
and BB normalized RSI
, when both indicators agree, a rally quickly follows right after. This being the case once more, and now displaying a descending triangle
, a breakout is likely to happen soon. Buying right above the support is ideal, assuming it holds after being tested. Trade cautiously friends!