InvestecSA Bullish Engulfing

Weekly Chart

When looking at the weekly chart we can clearly see the trendline holding quite firmly, A reversal to the long side is quite. I’m looking for a long entry on a daily chart.

On 9 September 2020 We a huge bullish engulfing candle.

Bullish engulfing on daily chart

Engulfing quite a number of previous days candle.

Trade mechanics

Trigger: Engulfing candle.

Confirmation: trade above the high of the trigger candle (R32.48)

Direction: Long

Entry: R32.50

Stop loss: R30

Risk: R2.50

Account balance: R2793.36

Max, I’m willing to risk: R83.8 (3%)

Shares: R83.80 / R2.50 = 33.5 (rounding off 34 Shares) 

Leave a Comment

Your email address will not be published.