Today we will define all the relevant levels on Disney either for bullish or bearish scenarios.
After the gap on the 11th of November, the price kept falling, and now it's a good time to think about reversal areas or the following bearish targets
My main conclusion right now is that we are on a Flag ABC pattern, which means that we may see content with the cloned channel (yellow lines), which makes convergence with the previous ATH in November 2019. That's a level that we should see bullish pressure to keep our bullish thesis valid.
However, if the price breaks that level and reaches 146.00, I will think that my bullish view is not valid anymore, and I would think about bearish targets on the next support level at 130.00
Despite the specific resolution, I think the current situation may be interesting to trade after we have a clear formation. Once we have structures with more than 250 days, it's pretty easy to look into the past for similar conditions and develop consistent setups based on a statistical perspective.
Thanks for reading! Feel free to share your view and ideas in the comment box.
After the gap on the 11th of November, the price kept falling, and now it's a good time to think about reversal areas or the following bearish targets
My main conclusion right now is that we are on a Flag ABC pattern, which means that we may see content with the cloned channel (yellow lines), which makes convergence with the previous ATH in November 2019. That's a level that we should see bullish pressure to keep our bullish thesis valid.
However, if the price breaks that level and reaches 146.00, I will think that my bullish view is not valid anymore, and I would think about bearish targets on the next support level at 130.00
Despite the specific resolution, I think the current situation may be interesting to trade after we have a clear formation. Once we have structures with more than 250 days, it's pretty easy to look into the past for similar conditions and develop consistent setups based on a statistical perspective.
Thanks for reading! Feel free to share your view and ideas in the comment box.