Hello Traders,
CGC declined to $20.52, which could be all of the declines or it is wave ((iii). The minimum expectation for a wave „5“ is given, by making a lower low below the wave ((iii)) at $22.76!
The 1.618 Extension of wave ((i))-((ii)) is @ $21.12, the possibly wave ((iii)) low was at $22.76. So the wave was extended, but not the usually 1.618 Extension as wave 3 of any degree mostly did.
So I expect a wave 5 to be equal wave 1; this would be the case @ $18.75.
From a technical view, there is to observe, that Stoch, RSI (14, c) and MACD, all show divergence in their momentum behavior and a sharp (countertrend) rally could be imminent!
If so to come, the level of $28.89 is a target range, a wave ((iv)) area and close to a 0.382 Fibonacci (@29.54) of the decline from $44.13-20.52.
While the latter decline from $28.89 is not a clear „five-down“ this possibility is one with lower confidence, but still valid.
Any decline below $20.52 would boost the divergence for the technical indicators and make a short-term „rally“ more imminent to my view.
Have a great time....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!
CGC declined to $20.52, which could be all of the declines or it is wave ((iii). The minimum expectation for a wave „5“ is given, by making a lower low below the wave ((iii)) at $22.76!
The 1.618 Extension of wave ((i))-((ii)) is @ $21.12, the possibly wave ((iii)) low was at $22.76. So the wave was extended, but not the usually 1.618 Extension as wave 3 of any degree mostly did.
So I expect a wave 5 to be equal wave 1; this would be the case @ $18.75.
From a technical view, there is to observe, that Stoch, RSI (14, c) and MACD, all show divergence in their momentum behavior and a sharp (countertrend) rally could be imminent!
If so to come, the level of $28.89 is a target range, a wave ((iv)) area and close to a 0.382 Fibonacci (@29.54) of the decline from $44.13-20.52.
While the latter decline from $28.89 is not a clear „five-down“ this possibility is one with lower confidence, but still valid.
Any decline below $20.52 would boost the divergence for the technical indicators and make a short-term „rally“ more imminent to my view.
Have a great time....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!