$SNDK

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Looking at the broader context on this chart, the market structure has been in a heavy, sustained downtrend, evidenced by the cascading long-term moving averages (MA120 down to MA500) acting as massive overhead resistance. However, a significant structural shift has occurred recently; after bottoming out near 803.97, price action has printed a higher low and aggressively broken through short-term dynamic resistance. The intraday surge of +13.75% to a high of 977.98 signals a bullish break of structure from the recent consolidation zone, flipping the immediate short-term market bias from bearish to strongly bullish.

The candlestick formation shows a powerful impulse move upward with very little upper wick on the recent green candles, indicating strong buying pressure and intraday control by the bulls. Price has decisively crossed above the MA5 (993.29) and MA10 (951.87), and is currently testing the MA30 (888.13), which it has already cleared. The MACD indicator confirms this momentum, showing a bullish crossover with the MACD line (17.52) pushing above the signal line (19.48), alongside a rapidly rising histogram.

My plan is to look for a long (buy) entry on a pullback, as chasing a +13% intraday move is high-risk. I will wait for price to retrace to the immediate support zone formed by the MA10 (around 951.87) or the previous intraday breakout level. My stop loss will be placed strictly below the recent swing low (803.97) or beneath the MA30 (888.13) to protect capital if this is a fakeout. My take profit targets will be set at psychological resistance levels, primarily looking at the 1,026.41 level and extending toward the MA60 (972.13) as a secondary resistance.

I predict a short-term bullish continuation, but with expected volatility. Because the stock has surged so violently pre-market/intraday, a natural profit-taking retracement is highly likely before the next leg up. I expect price to find strong support around the 888-950 range and then attempt to challenge the 1,000-1,026 resistance zone. The long-term bearish trend (indicated by the higher MAs) is still intact, so this is likely a relief rally or a short-term momentum trade rather than a full macro trend reversal.

I am following a momentum-based trend-following strategy combined with a pullback entry. I choose this because the MACD and moving average crossovers strongly favor the bulls right now, but entering at the very top of a massive green candle (948.81) leaves no room for error. By waiting for a retracement to support, I can increase my risk-to-reward ratio and use a tighter stop loss.

I will not start my trade immediately at the current pre-market price of 948.81. I will wait for the regular market open to see if the price holds. I will initiate my long position only if the price retraces to test the MA10 level (around 951) and shows a bullish rejection candle (like a hammer or a strong green engulfing candle) on a shorter timeframe (like the 15m or 1h chart).

The recent price action is heavily dominated by strong Bullish Marubozu-style candles (long green bodies with little to no wicks), indicating extreme buying pressure. Additionally, the chart shows a potential Morning Star or Bullish Engulfing pattern forming at the bottom (near 803.97), which was the catalyst for this massive upward reversal.

Strong Bullish Bias, but wait for the dip. The chart shows incredible short-term momentum with MACD confirmation, but entering at the absolute top of a 13% spike is poor risk management. Wait patiently for a pullback to the 888-951 support zone, look for a bullish candlestick confirmation, and ride the momentum toward the 1,000+ resistance levels with a tight stop loss.