The algorithm is proposing a trade in ITUB which seems quite interesting. A channel has been formed creating a kind of big flag.
The most probable scenario is a bounce to the upper zone again but be ready for a retest of the lows, so if the channel breaks down you can also profit by shorting with a risk reward of 2.
If the price bounce as expected, the risk reward is 5 so it's amazing in terms of ratios. You need just 1 trade to compensate 5 loses in similar trades.
The most probable scenario is a bounce to the upper zone again but be ready for a retest of the lows, so if the channel breaks down you can also profit by shorting with a risk reward of 2.
If the price bounce as expected, the risk reward is 5 so it's amazing in terms of ratios. You need just 1 trade to compensate 5 loses in similar trades.