Reversal Diamond Formation formed on the Daily chart.
This formation is a normally a big fight between the bulls and the bears.
Once the price breaks below it, sets the bar for the next momentum slide.
Which in this case was down.
We had other indicators confirming the downside to come including.
200>21>7 _ Bearish
RSI <30 - Bearish
And our first target...
Reversal Diamond Formation formed on the daily.
This is a broadening reversal pattern that forms in the shape of a Diamond.
Because the previous trend was up, the Diamond moved sideways and then the price broke down, shows the likelihood of it dropping is bigger.
200>21>7 _ Bearish
RSI <30 - Bearish
Target R2.25
ABOUT
KAP Industrial Holdings Limited (KAP)...
Kap Industrials has undergone distribution and is now in the markdown phase. After a buying climax (BC) in April 2017 we have seen a distribution trading range (TR) and currently, it is in the markdown phase. There is high volume selling as large interests are getting rid of the stock on the way down.
