1) This news contributed to the sell-down
www.bloomberg.com
2) I said previously to trade in the direction of the breakout in prices
3) Do not long until a bottom pattern has been reached, which could be as low as $13.60
1) Similar pattern to the downtrend channel that happened from mid-June to end-June
2) Buy when support line of about $20.50 is reached, or when prices break out of the downtrend channel.
3) Sell if Major Support line of $20.00 is breached to the downside
1) The gap up from $20.25 to $20.68 needs to be closed
2) Currently there is some strong support at $20.65 area
3) Trade accordingly to the current downtrend channel
4) Sell if it breaches $20.00
5) Buy if it breaks out of the downtrend channel to the upside
1) Price has crept back up into the Ascending Triangle
2) $20.00 still a major resistance as this has been an area of strong resistance/support dating back 5 years
3) Note the divergence on the MACD
4) Ascending triangles mainly resolve to the upside, but we shall see.
