TENCENT700/1D, HKEX - SWING positionThe first pull back before H&S pattern on the 21st of sep' rebounded back down on the RSI 50 level (and 0.382 FIbo level) and went straight to the RSI oversold level to show the first shoulder on the graph. Then drew the head as the RSI was showing divergence. Candles went back up to 0.236 FIbo level (H&S neck level) before drawing the last shoulder. The last prices broke through two important levels :
- RSI 50
- H&S Neck level (0.236 Fibo)
You can also take a look at Ichimoku clouds. You will see a lot of bullish indications.
Buy the current price (a bit risky)
TP : 385 (0.618 Fibo)
SL: 280
Take a long position with a R/R ratio 3:1
or wait for the price to pass the 0.382 Fibo level.
TP: 385
Take a long position with a R/R ratio 2:1
