Melco Crown Entertainment Ltd (MPEL) : Bullish Reversal with Kijun sen Support

I shorted MPEL when it got oversold a couple of days back.

For the last 2 days, I feel that it doesn’t seems to drop much further and this is confirmed yesterday when upon opening, the price did not go below the Kijun sen and there is a fair amount of volume transacted within the first 2 hours of trading.

With the support at Kijun sen and the price action-volume going on, I close my short position and is now long on MPEL with a Covered Call to guard against the possible weakness from the major indices including RUT.

By iam802

Trend trading with Ichimoku

1 comment

  1. Seems like there is price weakness with the opening today.

    Prices does not seems to go up and did not go higher than previous day high.

    This is one indication that I am looking for that did not materialise.

    Will monitor and decide if I want to close off my position

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