Wednesday, July 20, 2016

EW: Breakout Play

East West Banking Corporation

EW on a breakout galore:
  • Breakout from its 4-year downtrend line at around 18.5. Projected target from this breakout is around 24~25. 
  • Breakout from its major resistance at 18.5.
  • Also a breakout from a Rounding Bottom pattern with potential target around 22~22.5.
These are considered significant breakouts due to confluence in breakout levels.

*Major support now at 18.5 (previous resistance prior to breakout now becomes a support).

Trading Plan
Choose a play with at least a 1:2 risk/reward ratio from your entry to potential targets mentioned above.


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