CFD Trading – Sell Dongfeng Motor Gp (489.HKE) at $7.75. Stop at $8.50 and Target at $6.65.

DONGFENG GROUP   Stock Code 0489.HKE

Outlook
Price has been declining since 13 January 2021 after reaching a high of $10.10 on 11 January 2021. It is currently inside the cloud and is likely going to test the lower edge of the cloud support. There is a bearish Conversion and Base lines crossover that hints for the downside. MACD has turned bearish and there is a bearish MACD crossover that suggests an increased downward momentum. These could increase the chances of the stock price breaking below the cloud support to move lower to the next support point at $6.57.

Strategy
$7.75                 Sell
$6.65                 Price Target
$8.50                 Risk Management Stop
2 weeks            Trade Duration

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.