Looks like a solid short setup. Noticed on 6/27/21 but waited for confirmation today 6/29/21. This stock has awful options, so I shorted the stock. Since the equity markets have a strong bullish bias, thanks to the Federal Reserve and QE Infinity, shorting is very difficult, so we initially went in very light.
Target is the 61.8% retracement of the yellow range at 41.52.
Stop is above the recent swing high at 51.24.
Entered short 20 shares at $46.85
Stop 52.50
Target 42.00
R:R = (46.85-42.00):(52.50-46.85) = 1:1 not great but this appears to be a high probability setup.
Here's what I see:
- Trend Line resistance, see thin downward angled white line
- 78.6% Fibonacci resistance on the green range
- Stochastics Overbought
- AB=CD Resistance, see 2 thick upward angled white lines
- Bearish Engulfing
- Doji gap down
- Close below 8ema, 6/25/21
- Lower High/Lower Low
- Close below 8ema, 6/29/21
- Close near candle bottom
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