I've been hearing a lot of talk about AMC nearing an explosive period based on the idea that the candle touch from Oct. 19 matching the similar touch from mid-April. As an exercise, I tried to look at the chart in a way that doesn't assume we are close. What would we have gotten wrong?
Instead of thinking Bottom Yellow matches Top Blue, what if the recent high just before earnings was the second touch of the lower highs downtrend? That would potentially mean a couple more red days as we fall toward the long-term uptrend for a final touch. That puts us retracing until Nov. 17-19, then starting a protracted uptrend which carries us into the new year.
This may be wrong, but knowing it's a possibility, I hope, helps people should the price continue to dip in the coming week or so.
Instead of thinking Bottom Yellow matches Top Blue, what if the recent high just before earnings was the second touch of the lower highs downtrend? That would potentially mean a couple more red days as we fall toward the long-term uptrend for a final touch. That puts us retracing until Nov. 17-19, then starting a protracted uptrend which carries us into the new year.
This may be wrong, but knowing it's a possibility, I hope, helps people should the price continue to dip in the coming week or so.