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Home » Trade Journal » Profitable Trades » 9. SBRY – 07.Apr.17 – 10.Apr.17

9. SBRY – 07.Apr.17 – 10.Apr.17

Weekly Chart


SBRYWeekly

SBRY continues to trade within a range whose lower and upper bounds were established roughly around Dec. 2014 and Apr. 2015, respectively. I see no indication that a breakout is imminent.

Long Daily Chart


SBRYLongDaily

As I’ve noted before, SBRY bounces around pretty reliably inside its price channel. Prices that reach the upper or lower channels are usually followed shortly thereafter by reversion of prices towards the 22-period EMA.

Volume has been in general decline since late 2016. I interpret this to mean no major change transition from recent price behaviour exhibited over the past 500 trading sessions is afoot.

Short Daily Chart


SBRYShortDaily1

SBRY’s most recent candlestick forms a textbook kangaroo tail, which in this instance indicates that a price rebound is imminent. The fact that the kangaroo tail has formed near the lower price channel reinforces the strength of the bullish signal This interpretation is further supported by a bullish divergence between price action over the last three trading sessions and Force Index. MACD histogram also shows stalling downward price momentum.

All indications point towards an imminent bullish price reversal. I will open a long position tomorrow and place a stop loss at 240.4p.

I will be leaving next week for almost a week and will not have reliable access to my trading account during that time. I will therefore close my position on Monday 10.Apr.17 and take whatever profit (if any) that may have accrued.

Entry: I opened a long position on 07.Apr.17 at 258.9p.

SBRYShortDaily2

Exit: I closed my position on 10.Apr.17 at 261p for a gross return of +0.81%.

Follow Up


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