I am taking a contrarian shot at a short Google trade here, based on the textbook bearish rising wedge seen on the daily chart below.
With Amazon weakness, I am playing for big cap tech some finally come in some.
I entered short inside 12631 at $1,184 with a cover-stop loss over $1,200, not looking to hold onto a loser very long. I am playing for an imminent downside break.
For reference, the bearish rising wedge is a chart pattern that starts out with price in a wide range which soon contracts in terms of the swings as prices move higher. You are looking for at least two “reactions” or touches of the resistance trendline above, and usually three reactions of the support trendline below to help give the pattern the look of a wedge.
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How about buying put options spreads instead of shorting.
That works too
Can we target for a 20 D Ma bounce or will it be a positional short trade for a while. To me this is a very good fundamental stock, if I am a long term trader would I exit when I see this pattern? Just trying to understand.
Just a technical trade. I am getting out in front of it which is riskier and hence the tight stop if I am wrong.
By the way I am a member of 12631 and I just follow only ur calls and RC’s to avoid complexities, that’s the reason I am not on that chat. I love ur calls.. I am consistently making 2% returns every month just following ur calls.
Thank you very much. Happy you are pleased with the service.
Looks good to me. Targeting ~1155 or looking for an even bigger move?
Yeah that would be a good first target.
I admit I like the trade. I’ve been trading P all day mostly from the short side.
Thank you for your admission, sir.