EBAY BULLISH RANGE MOVE

5 мая 2014 г.

[FIRST] notice that we are NOT using candlesticks, but rather Heiken Ashi. Heiken Ashi is very similar to the regular japanese candlesticks, but it fills in the gabs that are missing with the movement. ie if it was a bearish gap, there will be a bearish candlestick. This makes it MUCH easier to visually look at charts, as well as predict reversal candlestick patterns (engulfing, piercing, hammer, ect.).

Remember that on top of everything i write after this sentence, you should wait for some sort of conformation such as a candlestick pattern on H1, H4, or D1 to enter this trade.

EBAY has been ranging for quite some time now and it's at the bouncing point again (or at least close to it). I predict that the best entry would be the 50-52 area, as they are pretty good psychological & supply zone area.

You'll also notice that if we do the fibonacci, it shows that the price just passed the 61.8% area, but now past the .764 area. So that that's another possible indication of a good buy.

You will also notice that on the beginning of march, the price BROKE OUT of the range, but shot back down again later, which i DO find quite odd. Only thing i can get from that right now is that it's doing a retrace, although i wouldn't have wanted that retrace to be back inside the range.