This is a very simple swing trade idea, without any complex reasoning. I have found that these ideas work best.
Ok, so we have a bullish divergence on the MACD histogram, MACD lines and the senstive FI. It's impossible to tell if this divergence is going to be the trigger for a longer rally or just a minor correction, so this trade includes both possibilities.
The trade plan is to get into a position tommorow at a reasonable price. Anywhere over 3.65$ is not attractive anymore. Stop at 3.40$. Over the support 3.33 I remain bullish as long as the histogram continues to tick up.
Part of the profit should be taken at the first target, and stop moved to breakeven. This profit taking at a nearby target is a safety net in case we get only a minor correction. If however, the long doesn't touch the breakeven stop, second target is at 4.40$. The first downtick of the MACD histogram will be a signal to close 20% of the existing position at that moment.
The weekly doesn't say much, but it doesn't disallow this long either :
This is a new approach for me, a trade lasting no more than a few days with a very close profit target.
Ok, so we have a bullish divergence on the MACD histogram, MACD lines and the senstive FI. It's impossible to tell if this divergence is going to be the trigger for a longer rally or just a minor correction, so this trade includes both possibilities.
The trade plan is to get into a position tommorow at a reasonable price. Anywhere over 3.65$ is not attractive anymore. Stop at 3.40$. Over the support 3.33 I remain bullish as long as the histogram continues to tick up.
Part of the profit should be taken at the first target, and stop moved to breakeven. This profit taking at a nearby target is a safety net in case we get only a minor correction. If however, the long doesn't touch the breakeven stop, second target is at 4.40$. The first downtick of the MACD histogram will be a signal to close 20% of the existing position at that moment.
The weekly doesn't say much, but it doesn't disallow this long either :
This is a new approach for me, a trade lasting no more than a few days with a very close profit target.