Potential Long on LKE
LKE was in a descending wedge with bullish RSI divergence and now in a triangle. Look for a breakout of trendline for entry, stoploss at last swing low and will be moving SL to BE when safe to do so.
LKE
LPD LPD.axLPD came back and retested the 618 fib common reversal zone.
pushed below support in order to create liquidity.
Will look for a breakout the of the Bo2 line and "Level" all marked on the chart.
If this happens target will be Macro Breakout line before profit taking.
Mid range resistance is worth noting if we get a breakout out.
$LKE $LKE.axLKE breaking out of a 5 month consolidation period, looks like a 5 month cup and handle pattern
Target is at the 1.414 Fib level and also the "Cup and Handle" Traditional chart pattern target.
Lithium sector and commodities all running hot atm.
Volume is very notable on the breakout also. Adds conviction.
Looking for lower timeframe backtest entry
$LKE- Possible BreakLKE looks like an ascending triangle, may pop depending on market conditions and pending annoucements
ASX: Lake ResourcesFactors
1. Price has broken out of the recent downtrend (03/06/19 - 02/01/20)
2. There is a bullish candlestick printed where price broke the recent downtrend (02/01/20)
3. There is a gap at 5.4c which I would be looking to target.
Possible Reasons For Failure
1. Momentum may fizzle and close the gap below
2. Low volume on the initial breakout
3. 13/48 EMA doesn't crossover
4. Not much of a base has been established
