What's next for $SGMS?
Hello fellow traders. Are you guys prepared for this week? I think it will be exciting. I am expecting a reasonable drop given the uncertainty of the markets this past week and the fact that the futures are red. Also, I think we are due to a correction. I may buy the vxx calls and spy puts to hedge against my positions. The vxx spiked 25% last week and the spy is down over 3% (I will probably chart them sometime this week). If there is a major correction the coming weeks, most of what follows will probably be garbage so take that into account.
Let's talk about SGMS, a request from a follower. We are looking at the weekly time frame, which I though could give us good pointers. After dropping about 19% from previous highs, the price broke the support of the 14-ema and is headed to the 0 fib retracement level. That level is important because it was resistance for several weeks in the past and more recently has served as support (yellow arrows). There is a good chance we will see some price action around this level. I think we will see more downside--specially under current market circumstances--because there is a bearish divergence between RSI and price and the price already started falling. Additionally, MACD is curling down sharply after having enjoyed a good ride up. Finally, you may notice that the price broke out bearish from the ascending wedge.
A move to the 21-ema would be another 8% down, for a total of 27%. I expect the price to get at least there. If/when it does you can start scaling in slowly depending on how price reacts to the 21-ema. Last time these levels were visited prior to this time was March 2018. Then, the price broke down to the 50-ema, bounced back, and then went under major correction. History doesn't need to repeat itself but it could so watch that 50-ema as well.
Close up view:
If you need a little more detail, here is the daily chart. You may notice that the 14-ema is about to cross the 21-ema bearish and that price is already below the 50-ema:
That is it for this one.
Safe trades!
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If you get anything out of this TA, please like the chart so it moves up and others can benefit from my work. A simple click on the like button goes a long ways.
Follow for more:
If you want the best entry/exits just follow me, you won't regret. Thanks a lot!
***The ideas shared here are my opinion, not financial advise to place trades. Please do your own research before buying/selling stocks***
Let's talk about SGMS, a request from a follower. We are looking at the weekly time frame, which I though could give us good pointers. After dropping about 19% from previous highs, the price broke the support of the 14-ema and is headed to the 0 fib retracement level. That level is important because it was resistance for several weeks in the past and more recently has served as support (yellow arrows). There is a good chance we will see some price action around this level. I think we will see more downside--specially under current market circumstances--because there is a bearish divergence between RSI and price and the price already started falling. Additionally, MACD is curling down sharply after having enjoyed a good ride up. Finally, you may notice that the price broke out bearish from the ascending wedge.
A move to the 21-ema would be another 8% down, for a total of 27%. I expect the price to get at least there. If/when it does you can start scaling in slowly depending on how price reacts to the 21-ema. Last time these levels were visited prior to this time was March 2018. Then, the price broke down to the 50-ema, bounced back, and then went under major correction. History doesn't need to repeat itself but it could so watch that 50-ema as well.
Close up view:
If you need a little more detail, here is the daily chart. You may notice that the 14-ema is about to cross the 21-ema bearish and that price is already below the 50-ema:
That is it for this one.
Safe trades!
Share the love:
If you get anything out of this TA, please like the chart so it moves up and others can benefit from my work. A simple click on the like button goes a long ways.
Follow for more:
If you want the best entry/exits just follow me, you won't regret. Thanks a lot!
***The ideas shared here are my opinion, not financial advise to place trades. Please do your own research before buying/selling stocks***
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