Stock Of The Day / 01.08.25 / EIX

há 7 dias

01.08.2025 / EIX

Fundamentals. Negative background due to power outages due to wildfires in California.

Technical analysis.
Daily chart: Change of uptrend to downtrend.  Level 69.00, formed by the trend break in June 2024 is ahead.
Premarket: Gap Down on moderate volume.
Trading session: The primary impulse from the opening of the session was stopped at the level of 73.50 and the price began to tighten to the level with each subsequent pullback being smaller than the previous one. We are considering a short trade to continue the downward movement.

Trading scenario: #breakout (#squeeze) of the level 73.50

Entry: 73.25 aggressive entry into the breakdown.

Stop: 73.76 we hide it behind the high of the last pullback.

Exit: Close part of the position before the strong daily level of 69.00. Close the rest of the position at 67.69 when the structure of the downtrend is broken.

Risk Rewards: 1/10

​​​​​​​P.S. In order to understand the idea of the Stock Of The Day analysis, please read the following information.

há 7 dias

Trade ativo

As an alternative, I can offer a more conservative entry point.

In this option, the support level of 73.19 will be drawn along the lower points of the pullbacks. We expect a retest after breakdown the level and open a short position when exit down from the range below the level. We place the stop behind the level.

Risk Rewards in this case will be slightly less, about 1/6, which is also quite good.