LULU channel bounce play

29 thg 12, 2020

From about September until now, LULU has held a very strong upwards channel that is not showing any major signs of weakness. Having seen over 3 strong bounces from the bottom, we are able to take a trade with this high probability bounce with a tight stop in order to protect the downside risk. In addition to the price action, the squeeze indicator is showing us major bearish momentum is likely complete as well as MACD curling to cross to the upside, all in our favor. Our entry will likely be around 349.45 - 351 and our first PT is 358.73. I am looking for our first PT to hit within 5 days at most. A hard stop will be placed at a breach of the lower blue trendline of the channel, with a full candle breaking and holding below to avoid a fake-out or stop hunt. LULU