The first bounce after the crack of the base at 5050 was for only 7%. I'd set the new base at 4300, but I'd be on the watch for evidence that the next bounce will be stronger than 7% for me to take a trade.
You are viewing a single comment's thread from:
That is essentially what I'm asking. I think the strong base was at 4500 (ish) and that was broken with only a 7% bounce. Can I look back to that 4500 base or do I have to wait for a new base to form (a stronger base because I agree that I don't want to buy on only a 7% bounce)
It was broken (maybe cracked is a better work here), but there was no "Panic Sell". That's what Luc identifies before his buying. Not if the base was broken, but was there "panic selling" afterward, thus causing the price to dramatically drop. Not trying to speak for Luc, but I've asked this same question before, and that's how he answered it for me.
I get that. I didn't buy for that reason. The question is, now that it's broken but with no panic, can I still use the 4500 base or do I have to wait for a new base to form?
It felt like I already answered that question in greater detail, but if u want the simple answer then the answer is no.