Trader's Logbook

GMA7 almost close the gap (or we may consider it closed) but after that we see a bearish signal waiting for confirmation. Daily chart shows a pattern that looks like an Abandoned Baby (less the gap of the doji), are we going to see a reverse move of GMA7 while rival ABS is going to do well?

This type of pattern tells us that after a rally, the bulls and the bears don’t know where to bring the price and then the next day, bears dominate the battlefield. A downward gap or a large black candlestick will confirm the reversal.

Caveat!