JICPT| Tencent likely to retest the gap zone again ahead Earning
Hello everyone. Two months ago, I've published a post titled 'Tencent completed retest, ready to challenge gap!'. Yep, I'm right about the challenge, however, it failed to firmly close above the grey zone.
Now, I'd like to revisit Tencent again as the earning report is coming out 6 days later.
Let's have a look at the daily chart. Firstly, the uptrend line has been respected well with higher high structure created. The problem is that it failed to retest the previous high formed in the grey gap zone area. So it may face selling pressure above $500. Let alone the coming down long-term moving average lines in red color.
I guess Tencent will consolidate for a while before the earning report. The possibility of taking out the recent high is very low. If the report is better than expected, buyers is likely to be excited to rush in and push the price conquer the grey zone.
Let's wait and see.
Now, I'd like to revisit Tencent again as the earning report is coming out 6 days later.
Let's have a look at the daily chart. Firstly, the uptrend line has been respected well with higher high structure created. The problem is that it failed to retest the previous high formed in the grey gap zone area. So it may face selling pressure above $500. Let alone the coming down long-term moving average lines in red color.
I guess Tencent will consolidate for a while before the earning report. The possibility of taking out the recent high is very low. If the report is better than expected, buyers is likely to be excited to rush in and push the price conquer the grey zone.
Let's wait and see.
plan your trade and trade your plan
