The Bottom Line:
- Brad from ShadowTrader.net presents a trade idea for Snowflake (SNOW).
- Previous successful trades include Lululemon and Starbucks.
- Focus on SNOW after it lost key support levels on a one-year daily chart.
- Critical price range identified between $118-$122 for a potential bounce.
- Strategy involves setting alerts and monitoring for a ‘look below and fail’ scenario.
Introduction to Brad’s Trading Insights and Success
Insights and Trade Ideas on Snowflake (SNOW)
In this video, Brad from Shadow Trader.net shares his thoughts on a potential trade setup for Snowflake (SNOW) based on key levels.
Past Trading Success and Analysis
Brad discusses previous successful trades on stocks like Lululemon and Starbucks, highlighting the importance of being prepared in advance for trading opportunities.
Upcoming Trade Opportunity in SNOW
Brad identifies SNOW as a compelling stock for a potential trade, indicating key support levels and his strategy for entering the trade when the stock reaches around $118 to $122.
Examining Snowflake’s Key Support Levels on the One-Year Daily Chart
Examining Snowflake’s Key Support Levels on the One-Year Daily Chart
The stock is showing signs of losing key support levels on the one-year daily chart, with recent attempts at a rebound being unsuccessful. Sellers continue to exert pressure on the stock, indicating a bearish trend.
Looking at a two-year daily chart, although there was a minor support level recently, the focus remains on the lows of 2023 compared to March 2023. This suggests that the stock may potentially find stronger support in the range of $118 to $122, presenting a favorable opportunity for a bounce trade.
To maximize this potential trade opportunity, it is advisable to set alerts and monitor the stock’s movement closely. By waiting for a “look below and fail” scenario around the $120 range, traders can plan an entry strategy that includes a stop loss below the lowest point to manage risk effectively and capitalize on a potential upward momentum.
Identifying the Crucial Price Range of $118-$122 for a Potential Bounce
Examining Snowflake’s Key Support Levels on the One-Year Daily Chart
The stock is showing signs of losing key support levels on the one-year daily chart, with recent attempts at a rebound being unsuccessful. Sellers continue to exert pressure on the stock, indicating a bearish trend.
Identifying the Potential Bounce Range of $118-$122 for SNOW
Looking at a two-year daily chart, although there was a minor support level recently, the focus remains on the lows of 2023 compared to March 2023. This suggests that the stock may potentially find stronger support in the range of $118 to $122, presenting a favorable opportunity for a bounce trade.
Trade Strategy for SNOW’s Potential Rebound
To maximize this potential trade opportunity, it is advisable to set alerts and monitor the stock’s movement closely. By waiting for a “look below and fail” scenario around the $120 range, traders can plan an entry strategy that includes a stop loss below the lowest point to manage risk effectively and capitalize on a potential upward momentum.
Implementing the Strategy: Setting Alerts and Monitoring Key Signals
The stock is showing signs of losing key support levels on the one-year daily chart, with recent attempts at a rebound being unsuccessful. Sellers continue to exert pressure on the stock, indicating a bearish trend.
Looking at a two-year daily chart, although there was a minor support level recently, the focus remains on the lows of 2023 compared to March 2023. This suggests that the stock may potentially find stronger support in the range of $118 to $122, presenting a favorable opportunity for a bounce trade.
To maximize this potential trade opportunity, it is advisable to set alerts and monitor the stock’s movement closely. By waiting for a “look below and fail” scenario around the $120 range, traders can plan an entry strategy that includes a stop loss below the lowest point to manage risk effectively and capitalize on a potential upward momentum.
Conclusion: Evaluating the ‘Look Below and Fail’ Scenario for Optimal Trades
Strategy for Maximizing the Trade Opportunity
To fully leverage the potential trade opportunity, it is recommended to set up alerts and diligently observe the stock’s movements. By patiently waiting for a scenario where the price briefly dips below $120 but then fails to sustain that level, traders can strategically plan their entry points. Implementing a stop-loss order slightly below the lowest point during this time frame allows for effective risk management while positioning for potential upward momentum.
Monitoring Key Indicators for Trade Execution
Maintaining a watchful eye on significant support levels depicted on the one-year daily chart is crucial. Despite recent unsuccessful rebound attempts signaling prevailing bearish sentiment, a more promising support range between $118 to $122 emerges when considering the two-year daily chart. This presents an appealing opportunity for a bounce trade strategy.
Executing the Tactical Approach for Trading Success
By remaining vigilant and prepared for actionable trading triggers, such as the anticipated “look below and fail” scenario around the $120 range, traders can enhance their chances of executing successful trades. Strategically placing a stop loss below the temporary low helps mitigate risks effectively, empowering traders to capitalize on potential upswings in the stock’s value.
