$Futu Holdings Ltd (FUTU.US)$ Futu broke below 50.45 support...

$Futu Holdings Ltd(FUTU.US)$
Futu broke below 50.45 support and now it is acting as a resistance. It is sitting right below resistance and usually that is a sign it may break the resistance since there wasn't a strong rejected after getting close.

However do take note of the bottom support levels should it fail to break it.

Downtrend is still very strong on this stock and if you are looking to long this stock as it is at a significantly cheap valuation, do be patient as there MIGHT be cheaper prices coming. It may very well pull up from here or continue going down to retest bottom support before doing so.

Thus you have to do your risk management and ask yourself if you can stomach further drops before rebounding or are you more comfortable entering only when you see early confirmation signals of a trend reversal.

I can't stop saying how cheap the valuation and great the growth potential of futu is, but also can't forget how strong the downward trend is. Thus on my part, I will let the price action determine my entry point and only enter in at Key support levels.

As always, trade safe & invest wise!

Do catch my video if you have not to know where your key support and resistance levels are at!
https://youtu.be/B4kjKSnYhAg