LT on the daily formed a possible bear trap by closing below the trend line & then showing a v shaped recovery from there. On the hourly it has closed above the downward sloping trend line resistance but it was not a convincing break. There are 2 major supply zones sitting on top of it, the first one is a very small zone which has a less probability of holding whereas the second one is a more important zone. The second zone is important for 2 reasons, 1st reason is that it has the POC of the downfall as per volume profile & also a break of the zone will cause a second break of structure which will shift the bias to bullish. Once that happens we will start looking for demand zones to enter buys & scale in for a good up move.
Comment:
LT failed to reach both the supply zone & also failed to break the 2nd BOS. this indicated further selling pressure in the stock. i expect it to test & possibly break 2050.
