AAON possible short
AAON is due for a pull back.
Please see the Monthly chart.
• Almost every time the momentum oscillator reaches about 79 level, there is a major pullback.
• There is an upwards sloping parallel channel that started 11/7/22. About 70% of these eventually break down. It reached the top of the parallel channel a few days ago, but 1 more push up will put it there again and with the Momentum oscillator probably close to target level.
Please see the 4-hour chart.
• The top may have already been put in. However, this still (in my opinion) may be a good starter position.
• You may want to consider looking for additional places to enter. These might include going back to the top of the parallel channel, double top of all time high, or a price/RSI divergence on the 1-hour chart.
Take profit targets:
First of all, please use a stop loss, especially if you get into a profitable position. Lock in the gains.
Target 1: The previous major high pivot of 4/29/24 which is $96.34
Target 2: Trend line at $96.34, which was the previous resistance level, which could become support.
Target 3: The trend line at $71.39, which is also a Fibonacci 0.5 retracement level. There is also a major upsloping trendline that will act as support is the timing is right and these level intersect with the price.
Please see the Monthly chart.
• Almost every time the momentum oscillator reaches about 79 level, there is a major pullback.
• There is an upwards sloping parallel channel that started 11/7/22. About 70% of these eventually break down. It reached the top of the parallel channel a few days ago, but 1 more push up will put it there again and with the Momentum oscillator probably close to target level.
Please see the 4-hour chart.
• The top may have already been put in. However, this still (in my opinion) may be a good starter position.
• You may want to consider looking for additional places to enter. These might include going back to the top of the parallel channel, double top of all time high, or a price/RSI divergence on the 1-hour chart.
Take profit targets:
First of all, please use a stop loss, especially if you get into a profitable position. Lock in the gains.
Target 1: The previous major high pivot of 4/29/24 which is $96.34
Target 2: Trend line at $96.34, which was the previous resistance level, which could become support.
Target 3: The trend line at $71.39, which is also a Fibonacci 0.5 retracement level. There is also a major upsloping trendline that will act as support is the timing is right and these level intersect with the price.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.