Stock Analysis: Today’s Best Swing Trade Idea for August 5, 2024 – FormFactor (FORM).
Trade Details: On Friday, August 2, 2024, FormFactor (FORM) stock price closed at $40.90.
On the monthly chart, the stock price is trading within an ascending broadening wedge, maintaining a strong bullish trend and creating higher highs and higher lows. However, the RSI indicator shows clear signs of the stock being overbought and divergence on the chart. The price recently collected retailer stop losses from the previous high swing.
On the daily time frame, the structure has shifted from bullish to bearish. We will plan a short trade after the price retests around the $50 level. Our target will be the next demand zone and the wedge trendline.
Note: If the price breaks above and closes at $63, this short trade setup is invalid.
Sell Swing Trade Idea:-
Sell Entry Range: $50-$58
SL: $63
Target 1: $35
Target 2: $30
Note: Always remember: risk no more than 1% per trade.” Keep trailing your stop loss to secure bigger profits.
Please note this is only an opinion and not financial advice.
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