PONY Short

2 thg 10, 2018

Upwards breakout rejected. Short down at least to lower support line, in the $2.75 region depending on its rate of decline. Bearish cross on the daily Stoch, RSI very over sold. PPO moving down with some bearish divergence. Also remember that a rising wedge, particularly after some strong downward movement (as has just happened with PONY) is a bearish trend, and is much more likely to break down than up. This makes shorting the highs a lot safer than trying to buy at support. In this case, as I said, the first target is this lower line, with the hope no support is found and the pattern breaks downward. If that happens, our targets are the old areas of support found in the rising wedge (around $2.50 and $2.10)

My opinion not financial advice