CAR - Bullish Accumulation Distribution (ADL) divergence trade
ADL trend is up while price action is trending down - bullish divergence.
Price today at 21.99 took out the pivot point (resistance) at 21.51. Closed higher than previous day on above average volume. It did form a doji and going ex div tomorrow so could potentially pullback.
It is also in a low vol profile region and can potentially move up quickly until it reaches the next high vol node.
Will see the price action tomorrow and planning to make the following trade if the uptrend continues.
Entry price around the nearest high vol node 21.24 where a lot of trading is occuring.
TP into the high vol node area above the low vol region.
SL just below the next high vol profile area below the entry level. Hoping the higher vol above the SL will provide support and not trigger the SL.
Price today at 21.99 took out the pivot point (resistance) at 21.51. Closed higher than previous day on above average volume. It did form a doji and going ex div tomorrow so could potentially pullback.
It is also in a low vol profile region and can potentially move up quickly until it reaches the next high vol node.
Will see the price action tomorrow and planning to make the following trade if the uptrend continues.
Entry price around the nearest high vol node 21.24 where a lot of trading is occuring.
TP into the high vol node area above the low vol region.
SL just below the next high vol profile area below the entry level. Hoping the higher vol above the SL will provide support and not trigger the SL.