This is just a low risk trade for me cause Ford runs last month's very well (picture) and the worldwide lack of chips is hitting the whole car sector.
Not sure what's the long run for this. But I like the technical setup in my trading timeframe (1D) so far.
After a increase in volume and price, we see a 1:2.4 consolidation. I like to see that there is buying interest after closing the gap up (1) around the golden pocket, accompanied by some volume (2). So it means to me the level should hold. Positive earnings should be always a nice catalyst. Also Ford hits the SMA20 in the weekly (picture).
I think i consider a trade if the gap up level breaks again with volume, and my stop would be half ATR under the 13.62$ resistance. I dont want to see a pullback to the 61 fib again.
13.62-0.25 (half ATR)= 13.37 .. should be an epic stop :/
Sry 4 bad english and some mistakes, just a tradingbeginner from germany
have nice weekend
Not sure what's the long run for this. But I like the technical setup in my trading timeframe (1D) so far.
After a increase in volume and price, we see a 1:2.4 consolidation. I like to see that there is buying interest after closing the gap up (1) around the golden pocket, accompanied by some volume (2). So it means to me the level should hold. Positive earnings should be always a nice catalyst. Also Ford hits the SMA20 in the weekly (picture).
I think i consider a trade if the gap up level breaks again with volume, and my stop would be half ATR under the 13.62$ resistance. I dont want to see a pullback to the 61 fib again.
13.62-0.25 (half ATR)= 13.37 .. should be an epic stop :/
Sry 4 bad english and some mistakes, just a tradingbeginner from germany
have nice weekend
Comment:
Doesnt take the trade, but it would have been a good buy at the cluster (MA200 + 78 Fib, 13$ Support) ive lost sight of it, cause the fundamental were not great and there are better sectors atm like oil and healthcare. hope some guys/girls pull the trigger here :)