T-Mobile US Inc (US$81.98) – Technical SELL

Sell spot: 81.98     Stop loss: 90.00   Take profit: 63.50

T-Mobile (US: TMUS) rebound on 18^th March 2020 looks promising after it formed a long bullish pin bar. But the subsequent rise looks problematic with many bearish signals. Based on the technicals, the rebound is more of a correction and the stock is setting its course on another bearish impulse move.

1. The inverted pinbar on 2^nd April 2020 has rejected the 50 Simple moving average line and the 61.8% Fibonacci retracement of 42-63.43.
2. Subsequent candle closes with a bearish candle, confirming the bearish inverted pinbar. Also, the candle stick formation has formed an evening star pattern, setting a strong momentum for the bear.
3. Price has broken out of the rising wedge formation, signalling a reversal coming.

*The technical call is valid for 3 weeks only.