Learn options entry - beautiful RSI bounce and candle indicatorsI hope every options trader sees this chart. On the daily chart, August 31 closed as a bullish engulfing, though small body and after a completely indecisive doji. RSI over 50 supports calls if the high of Monday's candle is broken.
It seems overbought, so caution is warranted, meaning you want a good signal.
Here on 30 min chart, you see price has been consolidating since Aug. 26. As it neared the cloud there was also a RSI retest of the 50 line (red oval). The price took support on the moving averages and cloud, and this afternoon finally traded over Monday's high (white arrow).
When the high price broke, there was a quick pop up in price and soon the stock was moving higher. The 30min candle also closed higher than the previous high close (green arrow) so this is a great sign for more upside.
