Radar item with solid uptrend in prices. Recent move shows ABC first wave of about $1.40 followed by brief second wave lower followed by nice strong third wave of over $2.75. Price is now forming downward fourth wave with indicators rolling over looking for support below. Will look for $6.14 area reaction and further test towards $6.00 and/or $5.61. Not anticipating wave 4 here to have above avg re-tracement as RSI appears steadfast after recent divergent peaks with price over past two months. Both MACD and stochastics are hinting towards shallow downdrafts as well with positioning near oversold readings already pronounced...again on hints at this point which is why this is on watch for confirmation in the near future. Looking to place TRADE under $6.35 with confirmation of 4thwave completion and 5th wave price climb projections closer to $2.00 higher.
30 percent trade profile if $6.14 area becomes wave 4 support with avg buys near $6.35
SL at $6 gives a 0.35 risk towards 1.90 reward. 5/1 is a good trade.
30 percent trade profile if $6.14 area becomes wave 4 support with avg buys near $6.35
SL at $6 gives a 0.35 risk towards 1.90 reward. 5/1 is a good trade.
Trade active:
Price back down to buy levels.
Comment:
uptrend line created from July 30 and Aug 6 price points is now being used to support price after a steep price decline back to support zone at the 5.61 level. SL made near $6 then used to reload @ 5.70.