1-Month Long Trade on LyondellBasell Industries NV (Ticker LYB)

4 days ago

LYB

Technicals:

- price consolidated 60 days after new low formation, letting Smart Money accumulate position
- price diapason formed W-formation with peaks confirming ressistance
- after breaking out the ressistance it became mirror zone with currently proving if it can act as support, having shown resilience on recent retests (20 Jan., 30 Jan., 2 Feb.)
- due to Smart Money manipulations and HFT impact the stop-losses got hunted recently throwing out the early passengers and significantly bounced back to recent consolidation levels
- be aware that price double penetration on 30 Jan, 2 Feb show that the zone is still instable and further close below 20 Jan. may lead to short movement targeting the current Low retest

- scenario invalidated if 2 bars close below 48.35

Fundamentals:

- company held quarterly financial results during conference call on 30 Jan.. Despite there was a strong short candle on that day it is presumed to be the fault of whole market backstep
- the strong buyout on 2 Feb. speaks for at least "not dissapointing financial results"
- despite long-term market sentiment seems to be cloudy, their product remains (under circumstances) pretty demanded for consumer production, so the company may keep balacing on the edge at least for some time before falling under the bear

Conclusion:

- as the markdown and accumulation lasted around 60 days each it is assumed that both the markup and distribution phases may last equal time. Therefore it is recommended to close the trade by 27 Feb.

# - - - - -
⚠️ Signal - Buy ⬆️
✅ Entry Point - 50.25
🛑 SL - 48.22
🤑 TP 1 - 54.40
🤑 TP 2 - 55.92
⚙️ Risk/Reward - 1 : 2.8 👌
⌛️ Timeframe - 1 month 🗓
# - - - - -

Good Luck! ☺️

DISCLAIMER: Not financial advice. Everyone must make trading decisions at their own risk, guided only by their own criteria and strategy for opening or not opening a trade.

4 days ago

Trade active

4 days ago

Note

Price reached first take-profit

3 days ago

Note

Price reached second take-profit

3 days ago

Trade closed: target reached