Mercadolibre Inc (NASDAQ: MELI)

MercadoLibre, Inc. hosts online commerce platforms in Latin America. It offers MercadoLibre Marketplace, an automated online e-commerce service for businesses and individuals to list items and conduct their sales and purchases online in a fixed-price or auction-based format.
Take a look at the 1-year chart of Mercado (Nasdaq: MELI) below with my added notations:

MELI has formed a clear resistance at $130 (green), which was also a support prior. In addition, the stock is climbing a very short-term, uptrending support level (blue) over the last couple of weeks. These two levels combined have MELI stuck within a common chart pattern known as an ascending triangle.
Eventually, the stock will have to break one of those levels, and the stock’s overall movement implies a break lower.

The Tale of the Tape: MELI has an uptrending support and a $130 resistance level to watch. A long trade could be made on a breakout above $130. A break below the uptrending support, or on a rally up to $130, would be an opportunity to enter a short trade.
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