CALT Status
Updated
According to the daily chart, the trendline from July has been clearly broken to the downside.
Currently, it is holding the 75.00 LKR level, which is crucial for the stock.
It can say that the stock is consolidating within 75.00 - 92.50 LKR range.
Immediate resistance box is 81.60 - 84.70 LKR, which has been created by the gap.
However, 75.00 LKR should be the stop loss (SL) for the stock. A close below 75.00 LKR, next support would be 60.40 LKR.
Note: To break a trendline or a support/resistance level, for me, either;
- the stock has to have 3 consecutive closes below/above that level OR
- a full candle should trade below/above that level
Currently, it is holding the 75.00 LKR level, which is crucial for the stock.
It can say that the stock is consolidating within 75.00 - 92.50 LKR range.
Immediate resistance box is 81.60 - 84.70 LKR, which has been created by the gap.
However, 75.00 LKR should be the stop loss (SL) for the stock. A close below 75.00 LKR, next support would be 60.40 LKR.
Note: To break a trendline or a support/resistance level, for me, either;
- the stock has to have 3 consecutive closes below/above that level OR
- a full candle should trade below/above that level
Trade closed manually
Clearly broken the 75.00 LKR support. Should have exited on Wed, 4th Oct.Next support level to look at is 60.40 LKR.
Note
It seems that 60.40 LKR level acted as support.A person who takes a risk, can enter here, setting a mental stop loss to exit if 60.00 LKR level is broken.
Others can wait until the descending trendline would be broken to the upside or until the chart structure would be changed to an uptrend.
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