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Cotton (CT) Weekly Chart Bull Flag Trying to Extend

Cotton (CT) Weekly Chart Bull Flag Trying to Extend

Posted October 29, 2021
Darren Chu
Tradable Patterns

Cotton (CT) Weekly Chart Bull Flag Trying to Extend

Cotton (CT) is seeing some healthy profittaking today after yesterday’s near 3% surge.  Significantly, CT appears to be on the verge of completing a 2 week plus Bull Flag consolidation (as seen on the daily and weekly chart), with CT arguably breaking above triangle resistance (on the daily chart).  Nevertheless, bulls should be cautious of the moderate probability for the 2021 high (formed earlier in October) to act as a ceiling for at least the next week or so, as it coincides with the August 2011 high and the 38.2% Fib retrace of the slide from the 2011 peak to the low in 2020.  Congratulations to readers who benefited from the increasing bullish momentum highlighted Aug 21st and from the warning on March 19th of a deeper slide.  The weekly, daily and 4hr RSI, Stochastics and MACD are rallying or consolidating recent gains.  I am looking to enter long in the green zone (of the daily chart), targeting the red zone for Thursday.  The amber/yellow zone is where I might place a stop if I was a swing trader (although in my personal account with which I seldom hold overnight I sometimes set my stops tighter).

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Sample of Today’s Top 3 Trades Available to Free Subscribers (published Apr 14, 2021)

Sample of Today’s Top 3 Trades Available to Free Subscribers (published Apr 14, 2021)
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