SUGAR D1
Our expectations: We have a breakthrough in flag formation in the downward direction, giving us good opportunities to enter with new short positions on the trend. The first and more risky option is to make deal now, and the second, is to wait for retracement to the lower diagonal on flag, where we will get a better price with a shorter stop.
Alternative Scenarios: If the price goes back to the flag and stays there for several consecutive days, the negative scenarios will ruin and we may see a rise to 23.6% Fibonacci correction.
Comment: The price is in a long-term downward trend, making shallow adjustments that allow us to join the trend. This fix is a flag type that has been activated today. The price has also corrected to 50SMA horizontal resistance.
Indicators: CCI(50) is below 0 which means the downward trend is still in place. CCI(14) crosses 0 from top to bottom - signal for a new downward pulse.
Jr Trader Petar Milanov
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