ZOM: What would take for it to reverse the trend?Hello traders and investors! Let’s talk about ZOM today!
ZOM lost the most important support level at $ 1.48, as we discussed in our last study ( link below this post), and when this happens, it’ll just head to the next support level.
This is a shame, as if ZOM reacted, it could’ve given a very interesting trade for us, but unfortunately it didn’t react. Now, if look at the daily chart above, you’ll see that it is just heading to the $ 0.85.
The $ 0.85 is a nice support level, yes, but it is not as good as the $ 1.48 could've be , as this is near the 21 ema in the weekly chart:
Now, ZOM is under the 21 ema, and it’ll require much more patterns to reverse the bearish sentiment in the mid/long-term.
The volume is not the best, and in order to react, we must see it increasing more. Remember: Volume is the fuel of a trend . But I agree that if it reacts near the $ 0.85, it could be a nice start for something great.
Let’s calmly wait for another opportunity on ZOM, and always trade carefully, as this is a high volatility stock, so, if you want to trade it, set your stop-loss very tightly to protect yourself.
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Thank you very much!
