WCH | The chemistry matters | 2 buy scenariosThis is the my second trade idea regarding Wacker Chemie AG (WCH).
After the first idea gave a nice ~ +27% gain and as WCH is currently in a strong downtrend, looking for zones to open a new position.
Overview
WCH is stuck in a range (This is the monthly chart). Breakouts of the range (yellow circles) on either site leads to price moving to the opposite side and usually a retest / fake- out.
Scenario 1 (Orange arrow)
Requirements : Price falls down to the buy zone (green area). Breaks below the bottom of the range and retakes it.
Stop- Loss: None
Invalidation: Price breaks below bottom range but doenst retake it
Target: Slightly below S/R Level 1
Scenario 2 (Blue arrow)
Requirements: Price falls into the buy zone(green area). Generates a reaction (Swinghigh). Price drops but stays above the buy zone. Price
Stop- Loss: Price closes on the the monthly below the bottom range
Invalidation: Price breaks below bottom range but doenst retake it
Target: Slightly below S/R Level 1
Good luck
]Disclaimer:
- This information does not constitute as financial advice and is only for entertainment purposes. I am not your financial advisor.
- You trade entirely at your own risk
- Make your own research
- Finance and trading is evil, capitalism is bad, duh
