SNAP approaching major daily resistance
Past trend line(red broken line) and 200ma(thick red) will be tested soon enough if SNAP keeps up its bullishness.
When tested expect a pullback from these levels back towards $12.50 - 13ish range making for a nice short term short play. Expect a few days of consolidation at these highs and if you do play short here have a stop loss above that 200ma/resistance trend line.
If it decides to break and hold the trendline/200ma, it may retest them as support and you could then buy in there for a possible long trade.
Personally I would try to aim a short at highs because SNAP has been down trending ever since its launch. That could change, however it hasn't shown any signs yet and you want to always assume the trend will continue.
Conclusion:
Short at levels of resistance marked on chart. Exit if price goes above and holds resistance (not a fake breakout of 1 day, but rather closes 2 or 3 days above resistance)
Target:
$12.50 - $13.
Time frame:
May take upwards of a month (maybe 2) to reach target depending if the price consolidates at these resistance levels or has a sudden dump.
-Estimate. 25 days if my TA is right we will be in the sub $14 range.
Add to your watch list and keep an eye on that resistance. Don't speculate and short right now. Be patient, let the price move for some time showing what its going to do before jumping in
Happy trading, :)
When tested expect a pullback from these levels back towards $12.50 - 13ish range making for a nice short term short play. Expect a few days of consolidation at these highs and if you do play short here have a stop loss above that 200ma/resistance trend line.
If it decides to break and hold the trendline/200ma, it may retest them as support and you could then buy in there for a possible long trade.
Personally I would try to aim a short at highs because SNAP has been down trending ever since its launch. That could change, however it hasn't shown any signs yet and you want to always assume the trend will continue.
Conclusion:
Short at levels of resistance marked on chart. Exit if price goes above and holds resistance (not a fake breakout of 1 day, but rather closes 2 or 3 days above resistance)
Target:
$12.50 - $13.
Time frame:
May take upwards of a month (maybe 2) to reach target depending if the price consolidates at these resistance levels or has a sudden dump.
-Estimate. 25 days if my TA is right we will be in the sub $14 range.
Add to your watch list and keep an eye on that resistance. Don't speculate and short right now. Be patient, let the price move for some time showing what its going to do before jumping in
Happy trading, :)
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