Just beginning of last week, we saw Sunningdale Tech approaching the 1.20 support level bearishly.
It has been holding above this support for more than 3 years since 2017 and seems like buyers were not able to hold on any longer..
Some downside targets were drawn as a result with first target being at the psychological 1.00..
From trend indicators, we were starting to see downtrend continue further…
Especially on any firm bearish price actions at 1.20..
See what I mean below. Not a good sign for sure..
A Descending Triangle pattern spotted also which can see more weakness…
A few days passed and we have indeed seen more selling towards the 1.00 support level..
There were some short covering near 1.00 but then..
Buyers were not able to hold too on market weakness and support just gave way too..
Downside target was reiterated to 0.800 as seen below…
More for CFD short positions to ride the downside rather then to hold on to any long positions blindly imo…
Another 15% downside was on the cards as seen below…
Fast forward to today, in just a matter of a few days,
We have seen our 2nd target at 0.800 hit also..
For now, we are seeing some short covering here too… perhaps those who have shorted previously would like to take profit and cover back some positions…
However, note that selling may not be over.
On more bearish price actions below 0.800, we can see more weakness towards 0.600 as seen in revised targets below..
Downtrend can still continue..
Would want to be cautious of any long positions for now…
As mentioned all along, more to hold CFD SHORTS to ride the weakness…. See where we are below now!
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