A technical analyst has been charting ABC stock and notes that the support/resistance levels are $20 and $30 respectively. If the analyst expects ABC to fall through support, which of the following orders should he enter?

A technical analyst has been charting ABC stock and notes that the support/resistance levels are $20 and $30 respectively. If the analyst expects ABC to fall through support, which of the following orders should he enter?



A) Buy 100 ABC 30.25 stop.

B) Sell 100 ABC 19.50 stop.

C) Buy 100 ABC 20.50 stop.

D) Sell 100 ABC 29.75 stop.



Answer: B) Sell 100 ABC 19.50 stop.


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