Hello friends.
We have shorted CVNA with a small size. We placed a stop loss above the local high at $57.19 and a take profit down at $30.
The idea for this trade is based on elliott wave theory. The cleanly visible wave count shows a completed move to the upside which means we should expect substantial downside for CVNA in the near future. The other reason we took this trade was because we can see a clean sweep of liquidity at the highs which is a pattern that we've seen often occur when bubble stocks have reached their final peak.
We have shorted CVNA with a small size. We placed a stop loss above the local high at $57.19 and a take profit down at $30.
The idea for this trade is based on elliott wave theory. The cleanly visible wave count shows a completed move to the upside which means we should expect substantial downside for CVNA in the near future. The other reason we took this trade was because we can see a clean sweep of liquidity at the highs which is a pattern that we've seen often occur when bubble stocks have reached their final peak.