This analysis is only based on price action and psychology in the stock market.
Key points :
Range of the candles diminishes and volume tapers off as bears drive the price down
Volume rises on indecision, bears are not in control anymore
Previous support acts now as a resistance area (around 2.75)
The initial target is around 2.75
PS : This is not an advice to buy the stock. You should never ever blindly follow a trader's idea without knowing exactly what he talks about.
Thanks for reading and if you have suggestions or wanna discuss about the idea, just leave a comment.
Pesanan dibatalkan
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Sadly, I didn't get filled around the price I've planned. I give my plans some room (in this case 0.05), but the stock gapped up $0.2 above my planned entry.
When this happens, I just stay cash. If there's one thing you shouldn't do is chase. If you start chasing, it means you trade on emotions.
A little side note :
That scenario happened a few times on trades I've planned this week (according to the overall market behavior, i.e. you can see that on the S&P500 index); I planned trades, they indeed turned out to go in my favor, but I didn't get filled around the planned price.
Takeaway : Be disciplined and stick to your plans.