After a long downtrend it looks like PSC has had some breakout on the fundamental side (lord knows what, I don't have time for that stuff) and the price has popped. Given this massive spinning top candle I think the price is going to consolidate here for a bit and form a pennant or a congestion zone as the price returns to the 200 MA and the peak line of the double bottom that formed. After that i would assume it to go up after that.
I'm not going to set an upper target for this. I'm first looking for a retracement of the prices action to the 200 MA at which point ill be looking to buy. A generous stop set to 0.150 which is a gap opening. Beyond that I'll be looking to trend trade this once some knuckles for the trend placement appear
I'm not going to set an upper target for this. I'm first looking for a retracement of the prices action to the 200 MA at which point ill be looking to buy. A generous stop set to 0.150 which is a gap opening. Beyond that I'll be looking to trend trade this once some knuckles for the trend placement appear
Comment:
Textbook pullback. It was a lot sharper than I thought it would be, but given that huge spinning top I guess it should have been expected. The price action has actually broken below the 200 MA again so we’ll need to wait until tomorrow or the next day before we know whether or not this has the strength to change trend and start moving up. Otherwise it could very easily get stuck below the 200 day MA and return back to where it was trading.