Snap Inc.Short
SNAP 10/13/2023
Updated
SNAP
Daily chart analysis
The influx of freshly printed Covid bucks propelled this stock into an uptrend between March 2020 and July 2021.
After reaching its peak in July 2021, the price entered a sideways market that collapsed at the end of October 2021.
This collapse initiated a sharp downtrend, persisting from October 2021 through October 2022.
In October 2022, the price found a bottom and interrupted the previous downtrend, entering a sideways range until July 2023 when it experienced an upward breakout. However, this breakout was short-lived, and the price fell back into the previous sideways range.
Since then, there has been a sharp decline towards the support area of the sideways range.
The false breakout of the range indicated that the price expanded beyond equilibrium for emotional reasons. The price eventually reverted to the mean, and there is an expectation that it will continue to expand beyond the mean in the opposite direction. There seems to be enough selling pressure here to drive the price to the support area of the sideways range and possibly touch the Covid lows from March 2020
Entering trade short.
Entry: 8.83
Stoploss: 9.73, -10.19%
Target: 4.93, +44.17%, 4.33 RR ratio
Please see my previous SNAP trades
Daily chart analysis
The influx of freshly printed Covid bucks propelled this stock into an uptrend between March 2020 and July 2021.
After reaching its peak in July 2021, the price entered a sideways market that collapsed at the end of October 2021.
This collapse initiated a sharp downtrend, persisting from October 2021 through October 2022.
In October 2022, the price found a bottom and interrupted the previous downtrend, entering a sideways range until July 2023 when it experienced an upward breakout. However, this breakout was short-lived, and the price fell back into the previous sideways range.
Since then, there has been a sharp decline towards the support area of the sideways range.
The false breakout of the range indicated that the price expanded beyond equilibrium for emotional reasons. The price eventually reverted to the mean, and there is an expectation that it will continue to expand beyond the mean in the opposite direction. There seems to be enough selling pressure here to drive the price to the support area of the sideways range and possibly touch the Covid lows from March 2020
Entering trade short.
Entry: 8.83
Stoploss: 9.73, -10.19%
Target: 4.93, +44.17%, 4.33 RR ratio
Please see my previous SNAP trades
Trade active
Adding to existing tradeEntry: 9.57
Stoploss: 9.73, -1.67%
Target: 4.93, +48.48%, 29 RR ratio
Trade active
Never fails with SNAP on earningTrade closed: stop reached
Stoploss: 9.73, -10.19%
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