PDD LONG entry on breakout of downward trendline
As PDD broke its major downward trendline , a long position with a good reward to risk ratio can be entered with a tight stop.
Factors leading to the decision:
- The recent downtrend has been broken with decent volume
- The 20ma was broken and held, pulling in moving-average traders off the side-lines
- A recent low offers a perfect spot to put a logical technical stop
As always, respect a tight-stop. If it rips up, let it run and trail stops behind.
Factors leading to the decision:
- The recent downtrend has been broken with decent volume
- The 20ma was broken and held, pulling in moving-average traders off the side-lines
- A recent low offers a perfect spot to put a logical technical stop
As always, respect a tight-stop. If it rips up, let it run and trail stops behind.
Note
Hitting resistance here, one could exit the trade, exit half, or let it rideTrade active
Took off half the position here with an inverse hammer showing possible reversal incoming. 18% gain for the first half of the position. Keeping a tight trendline under the lows of the recent move and any close below that trendline will cause me to exit the remaining halfTrade active
Took off another 25 of the position. Letting the last ride up the ascending trendline under the recent lowsTrade closed manually
Taking the remaining 25% of the position off as it failed to gain a new high today. 34% move with leverage, I'm content.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.