I mention FSIN yesterday as a Chinese short play you may recall yesterday it broke below a multi year top/range on volume. The thing I didn't like about the trade was the fact it was down so much yesterday and thus wasn't in a good risk management position. Today it's up 8+% but still fighting with that long term trendline. It was up 14% earlier today, but higher prices, which were above the long term trend line were rejected, thus far any way.
There's always the possibility of some more upside as the market likes to knock around these important trendlines for a bit, driving traders in and out of positions, but all in all, the risk side of the trade looks a whole lot better today. Patience!
Today's attempt to break above the trendline.
3C showing a rejection of early opening gains of about 14%
This trend channel setting has held since FSIN started down in March, the closer the execution of a position to the red box, the better for risk management. I don't if it gets that high though. If you like the trade, keep in touch.
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