CPG - 10 months CUP & HANDLE══════════════════════════════
Since 2014, my markets approach is to spot
trading opportunities based solely on the
development of
CLASSICAL CHART PATTERNS
🤝Let’s learn and grow together 🤝
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Hello Traders ✌
After a careful consideration I came to the conclusion that:
- it is crucial to be quick in alerting you with all the opportunities I spot and often I don't post a good pattern because I don't have the opportunity to write down a proper didactical comment;
- since my parameters to identify a Classical Pattern and its scenario are very well defined, many of my comments were and would be redundant;
- the information that I think is important is very simple and can easily be understood just by looking at charts;
For these reasons and hoping to give you a better help, I decided to write comments only when something very specific or interesting shows up, otherwise all the information is shown on the chart.
Thank you all for your support
🔎🔎🔎 ALWAYS REMEMBER
"A pattern IS NOT a Pattern until the breakout is completed. Before that moment it is just a bunch of colorful candlesticks on a chart of your watchlist"
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⚠ DISCLAIMER ⚠
The content is The Art Of Charting's personal opinion and it is posted purely for educational purpose and therefore it must not be taken as a direct or indirect investing recommendations or advices. Any action taken upon these information is at your own risk.
CPG trade ideas
Compass Group - Buying the dip to the long term trend line.Buy Compass Group (CPG.L)
Compass Group PLC provides food and support services. The Company's segments include North America, Europe, Rest of World and Central activities. The Europe segment includes Turkey and Russia. The Rest of World segment includes Japan. The Company delivers services in sectors, including business and industry; healthcare and seniors; education; defense, offshore and remote, and sports and leisure.
Market Cap: £31.19Billion
Compass is trading in a fantastic long-term uptrend and this is showing no signs of stopping. The latest correction appears to have found some buying support at the long-term trend line. We expect the shares to rally towards the upper end of the corrective channel before eventually breaking higher towards new highs.
Stop: 1890p
Target 1: 2050p
Target 2: 2145p
Target 3: 2250p
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CPG long It has been a while since I posted one of my plans for the week ahead and I've missed the process, this week I would like to share my Compass Group (CPG) set up which I think is a great long. Compass posted strong half year earnings on the 15th of May which was well received by the market sending the stock up to an area that has played a role as resistance in the past, 1820. The price tested this area in April of this year and was unable to break through since then we have seen the stock go through some weakness to bounce back to then level on the strong earnings report. Last week's candle saw the formation of a doji where the market is making it's mind up about the 1820 where we will either fall away or break through and see new all time highs which is always a good time to trade a stock as it will be on a lot of peoples watch lists. The moving averages I use mainly 200/50 SMA and 7 EMA are all leaning upwards supporting the idea that the stock is in an uptrend and buyers should have control.
The plan for this one is to, set a stop order at 1821 as we haven't seen a full break yet so the level still holds good meaning we can get a tight entry to it without there being too much overhead resistance. I have my stop loss set at 1789 which clears most of the lows from last week easily giving the stock enough room should it fail to break out at the open but still tight enough to get a 1% account loss set which is vital for risk management. My target for this set up is a 5/1 RR giving me 1986 however, I will trim the potion by at third at the whole numbers of 1850 and 1900 making the psychological burden of holding a bit easier. I hope you have enjoyed this analysis and if there is anything you see differently feel free to comment. Thank you!
Joe
LSE:CPG
Prediction COMPASS GROUP PLCRECOMMENDATION SELL
TARGET 1133
CHART FORMATION:-
Stock is trading in a range and breaking its trendline will lead to downside movement. Stock is trading below the 50 DMA with negative bias.
INDICATORS:-
RSI is trading near to 50.07 level with negative bias, in upcoming session downside movement is expected.
MACD and Signal line is sustaining below the zero level line.
To know more Skype me tayal.smith1
Email tayal@marketlive365.com
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