VARTA in buy zone

The current region is a high supply area

Indicated by the 2 long tails created. Also the low 80 for the current trade is a golden cross between wma 50 and 100, so a short term technical buy.

But nevertheless keep a SL at 80 and hold till 94. The Risk to Reward is quite attractive with a downside at 4% and upside is at 16% making 1:3 R2R ratio quite favorable to us .
Comment: SL hit taking a loss. Due to corona outbreak news in Italy, the market gapped down. This is a high risky trade, i am moving my SL to 72 and then purchasing few more to average it out. This trade is not for the fainted heart.
Trade closed: stop reached: SL hit.


long term speaking, fundamentally, the price of varta is still over valued. I'm using EMA, so all EMA show a downward trend. depends on where you build your portoflio. I did a short term trading, bought after passing the trendline and sold around 85 after the kangaroo tail. I don't think it will come back that soon, I will not consider it until the gap is filled.
abiXMR karl_ee
@karl_ee, This was a short term buy, when i posted. I am just waiting to reenter at a good position. Looking at the current 75 mark I would, the current region would hold for sometime. As long as this panic sell continues we wont be seeing any drastic moves.