adeelahm1979

PSO head and shoulder formed. Going short & entry again on PRZ

PSX:PSO   PAKISTAN STATE OIL CO LTD
PSO already formed a head and shoulder. I have been tracing this for a while. Hence going short and then will do a reversal trade. This trade I anticipated the moment head formation was completing and the right shoulder started forming. Hence went short. Now based on the projection derived from the top of the head to the neckline, a potential reversal zone should be forming around an area where a previously low is present making a candidate for double bottom. I will evaluate the bullish divergence around double bottom and based on the divergence and confirmation of the HH and HL, I will go long. At the moment waiting patiently and anticipating the formation of the double bottom. Additionally I can short the stock until the PRZ as well. Hence I will post a second link for the same setup.

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