Bought Bunge Limited during the morning session because the price broke through two overhead resistance levels. The move matched Strategy 1 — a breakout following a period of sideways consolidation. However, it unexpectedly reversed later and failed to close higher. I’ve set the stop loss at today’s low and will see how it plays out tomorrow.
Positives
- MACD is positive
- Price is above the 10, 20, 50, and 200 moving averages
Negatives
- The price ultimately failed to break above the resistance level, and the increase in volume suggests there is selling pressure overhead.
Trade Plan
- Stop loss: Intraday low
- Target: $147.17
