Potential Breakout Trade on CLF2019
This chart is an attempt to show possible support and resistance lines that have been coiling the market lately. Bears did achieve a slightly lower low but were unable to follow through, an event that shows a change in market structure. If bulls can close higher timeframes above the 15 degrees resistance line, a stop buy setup approach seems reasonable. However, if bears manage to break the 15 degrees support line coming up from the current low, stop sell entries can be initiated. There are also the support/resistance entries, betting against the breakouts, which were the successful entries so far in this coiling market.
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