CN50 - Possible Head & Shoulder formation

15 Jul 2019

CN50USD

Trade Idea

CHN50 - Intraday - We look to Sell at 13650 (stop at 13750)

Short term momentum is bearish. Price action has posted a Doji candle and is neutral for short-term sentiment. Bias is mildly bearish today but we need to see a break of 13300 to confirm the downward pressure. In line with the possible early stages of a head & shoulders pattern and the strong rejection of gains, we look to set shorts in anticipation of a swing lower.

Our profit targets will be 13350 and 13150

Resistance: 13600 / 13700 / 13800
Support: 13320 / 13250 / 13150