W Short Trade Symmetrical Triangle Breakdown
Wayfair is an e-commerce platform for furniture and home goods sold online.
It has had gradually decreasing volatility on the daily chart in a symmetrical
triangle, W is halfway between the past earnings in early February and the upcoming in
May. Price is currently also compressing inside the triangle and halfway between
the mean VWAP and the first upper VWAP as the chart shows. The analysis of a short trade
is also supported by the AI algo of Luxalgo using Gaussian Regression line analysis to forecast
the downtrend. Targets are 47.25 which is the intersection of the forecasted trend down
and the support trendline of the triangle as well as 38.65 which is the intersection of that
same trendline and the pivot low of October 2023. The stop loss is 63.9 at the immediate pivot
high. The trade is projected to be a 25% trade is equal partial profits are taken at both
targets or 28% if the first target is a 1/3 partial closure.
It has had gradually decreasing volatility on the daily chart in a symmetrical
triangle, W is halfway between the past earnings in early February and the upcoming in
May. Price is currently also compressing inside the triangle and halfway between
the mean VWAP and the first upper VWAP as the chart shows. The analysis of a short trade
is also supported by the AI algo of Luxalgo using Gaussian Regression line analysis to forecast
the downtrend. Targets are 47.25 which is the intersection of the forecasted trend down
and the support trendline of the triangle as well as 38.65 which is the intersection of that
same trendline and the pivot low of October 2023. The stop loss is 63.9 at the immediate pivot
high. The trade is projected to be a 25% trade is equal partial profits are taken at both
targets or 28% if the first target is a 1/3 partial closure.
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