Good evening everyone,
Snapchat is being a very active stock last week and now we see why,
Price went straight from 20 usd level straight to 5.00 losing 75% of its value in 10 months, now its recovering and people may rush buying it expecting new highs.
Wait!
As we can see 12.0 level was a previous support zone, as demarcated by green arrows and now rsi is overbough (weekly)
On daily chart we can see snap is in a uptrend sure, but what about that huge volume candle spike with high on 12.02, im pretty sure it did trigger a lot of buy-stop orders on the market right? What do we have now? bearish RSI DIVERGENCE (H4 timeframe).
So whats the point? Dont rush buying yet, wait for a good correction close to the yellow uptrend (h4) or our fibonacci retracement zones (weekly) and buy it cheaper, buy it IF price action show bullish behaviour on this zones (i'll update here dont worry).
Too risky to go in right now, at least for my personal strategy and trading plan
Like? Agree? Leave a like, thanks and have a great week.
Snapchat is being a very active stock last week and now we see why,
Price went straight from 20 usd level straight to 5.00 losing 75% of its value in 10 months, now its recovering and people may rush buying it expecting new highs.
Wait!
As we can see 12.0 level was a previous support zone, as demarcated by green arrows and now rsi is overbough (weekly)
On daily chart we can see snap is in a uptrend sure, but what about that huge volume candle spike with high on 12.02, im pretty sure it did trigger a lot of buy-stop orders on the market right? What do we have now? bearish RSI DIVERGENCE (H4 timeframe).
So whats the point? Dont rush buying yet, wait for a good correction close to the yellow uptrend (h4) or our fibonacci retracement zones (weekly) and buy it cheaper, buy it IF price action show bullish behaviour on this zones (i'll update here dont worry).
Too risky to go in right now, at least for my personal strategy and trading plan
Like? Agree? Leave a like, thanks and have a great week.
Comment:
Too much indecision around 12.0 level, definetly some supply has arrived, lets see if our ascending trendline holds for the next days
Comment:
As i've said, too early to rush in
Dont get me wrong, from a PURE T.A perspective SNAP has a good upside potential (thinking about the app, does people still use it?)
But i just dont like the RxR for entering right now, anyway its re-testing the uptrend line, if anyone wanna take the risk .... im not.
Dont get me wrong, from a PURE T.A perspective SNAP has a good upside potential (thinking about the app, does people still use it?)
But i just dont like the RxR for entering right now, anyway its re-testing the uptrend line, if anyone wanna take the risk .... im not.
Comment:
Ok see, the uptrend was weak, fomo into it would be a mistake, the current price action and volume doesnt look good at all , i expect some sideways moving for a while now.