Long RWE if strong support holds
Starting from mid of May 2020 the stock used to be always above 200 SMA.
At the beginning of the year it was way too far away from 200 SMA that's why it was consolidating in the last weeks.
Option 1) Given the lower trendline and strong support indication based on volume the stock could bounce and may go up to test the weak resistance again.
If the stock breaks through the resistance there is nothing and the goal would be 42€.
Option2 ) If fails again on the resistance the stock may consolidate within a triangle or even fall through the strong support.
Considering the MACD it still needs some time to go up again where I assume it will consolidate for some days and test again the weak resistance.
This is just a personal idea and no recommendation.
At the beginning of the year it was way too far away from 200 SMA that's why it was consolidating in the last weeks.
Option 1) Given the lower trendline and strong support indication based on volume the stock could bounce and may go up to test the weak resistance again.
If the stock breaks through the resistance there is nothing and the goal would be 42€.
Option2 ) If fails again on the resistance the stock may consolidate within a triangle or even fall through the strong support.
Considering the MACD it still needs some time to go up again where I assume it will consolidate for some days and test again the weak resistance.
This is just a personal idea and no recommendation.
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