Olam: My lottery play for a rebound

Olam had made a strong rally without a meaningful retracement.
It has been in retracement mode the last two weeks or so.
It has reached the 38.2% Fibonacci level.

This is a lottery play because there is no clear buy signal other than the retracement level.

23 Feb: Opened LONG at $2.34
Cut loss if Olam breaks the $2.10 support, target to take profit at $2.76 (100% Fibonacci).


Outcome:

23 Feb: Opened LONG at $2.34
12 Mar: Closed at $2.28
Reason for closing: Crossover within GMMA long-term group of averages and weekly Impulse does not allow to hold long position.
Loss $0.06, 2.6%

Olam: Matching Low bullish candlestick reversal pattern

Weekly chart shows the breakout from the down trend and now Olam has retraced to test the previous resistance turned support.
Weekly Impulse allows to go long in the daily time-frame.



Matching Low bullish candlestick reversal pattern formed below 10d EMA and stochastic oscillator %D below 20.
Candle pattern filtering satisfied.
The second candle shows a re-rest of the low, but with much lower volume, indicating less selling pressure.
Confirmation is recommended before going long.



Daily Impulse does not allow to go long.
Should wait for 13d EMA or MACD-Histogram to tick up first before going long.



Price and Lagging Line are above the cloud. (bullish indication)
Conversion Line is above the Base Line. (bullish indication)
However, GMMA is showing sign of danger of trend collapse.
Thus emphasising to wait for confirmation and for daily Impulse to allow to go long.


Outcome:

The Matching Low bullish candlestick pattern was not confirmed.