Short AMAT - Bearish Divergences

ที่อัปเดต:
I see both on the 1D and 4H charts a bearish divergence on the MACD-H and EFI against prices. AMAT is pretty volatile so I suspect the divergence will lead to a move on the 1D chart to the -1 to -2 ATR lines (see the dotted 2 lines). This is because the divergence is strong and this ticker often times hits -1.5 and -2 ATR lines.

DMI shows ADX at the bottom, and -DI will go up, while +DI goes down. I expect ADX to rise along with -DI going up, possibly crossing it, this will then confirm the bearish strength.

I have to monitor the flow of the trade to decide where to get out. The estimate will be at least 49.03, but I set my target to 48.47 on the -2 ATR line, which will probably become -1 ATR when the decline sets in.

The StopLoss is set a bit above the resistance line. 1.5 ATR away



I will decide if I will see if it opens higher so I short from around 52. The other option is to go for a market order before I'm too late to short.

บันทึกช่วยจำ
Forgot to note here, that I entered at 52.42
ปิดการเทรด: ถึงเป้าหมายการตัดขาดทุน
This one gapped up immensely today, and I got stopped out. It happens.
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