Very good question indeed.Originally Posted by jagin
The stock came up as a short potential from the negative divergence scan.
The question is "how do I test the short trade"? What is the hypothesis that I want to test.
As you can see below, BWLD is in a sort of C&H pattern that broke some days ago.
To test the break, I need to see how the stock acted during the downtrend of the left side of the Cup, because the break would probably follow the same pattern.
The Breakout Calculator used the 50MA as long-term average. this means that a test of a short on a bounce while the price stays below the 50MA would have me tested all the prices below the green 50MA line, which is what I need.
150 days capture all these prices.
Pascal
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