Ezra – Poise for breakout for uptrend?

Trend: Downtrend, 20ma down, MacD below 0

Support: 1.63, 1.73 (20ma close)

Resistance: 1.85, 1.95, 2.04 (50 & 200ma close)

Observations:
Candlestick – One white candle that looks like one white soldier
Histogram –1G after 2R, Bullish divergence is seen.
RSI – Slightly above 50%. Bullish divergence is seen.
Stochastic – Bullish crossover around 50%.
Bollinger Band – Close to mid band.

Conclusion:
Based on current movements in the market, Ezra seems to have broken out of its recent high and could be forming a higher high. Will it uptrend continues and how far can it go?
Ezra’s trend based on yesterday’s chart looks more like downtrend. But this downtrend could be weak as it exhibits bullish divergence in its 2 indicators. This implies that its potential change in trend could be strong. Recently, it seems to be forming a higher low at 1.73 support level and confirmation will only come if it starts to form a higher high. To confirm the formation of higher high, it must break the recent high of 1.85 resistance level.
If the breakout of 1.85 occurs with high volume (above 8.5mil), the upside could be sustained, which could seek 1.95 as immediate resistance. But a strong resistance level to watch out for should be 2.04 where it could confluence with 50ma & 200ma.
However, if Ezra fails to close higher than 1.85 today, it could indicate that the trend might be forming a sideway. The sideway support could be formed at 1.73 or 1.63 level. 1.63 level is a key level to determine whether the downtrend will continue.
Currently, the indicators are still on the bullish side as there are no signs of bearishness yet. Hence, with slight conflicting signals with its trend reading, it will be better to be cautiously bullish on Ezra.
What to watch out for this week:
1) Breakout of 1.85 with high volume (more than 8.5mil)
2) Breakdown of 1.63 support

Trading strategy to adapt right now:
- Go long only when 1.85 resistance breaks with high volume.
- Go short when 1.63 support breaks with high volume.

*Disclaimer applies