Lets dig deep and analyze.
ASX:ECX aka Eclipse Group has been struggling withing the range of that chart I call fight zone. It is a price action range that spans from 1.195 to 1.485. That is a 24% fluctuations that happens more than 2 times. This could have provided a good profit for those swing-trading both long and short sides of the trade. I like the in this stock it can be source of lucrative trades for sure. But apart from these crazy swings, what do the technical indicators say at the moment? Should we long or short? Lets see what the indicators have in their pockets:
- From the structure point of view, the chart looks like a which is inherently , this can be confirmed if the price stays above 1.490 for few days.
- PSAR lipped to the upside which is
- pointing up which is
- Price above both 50MA and 200MA that is
- Price tried to go above the fight zone but came back in which denied the breakout from . this is , so bulls need to keep an eye on what is coming in next few days.
- is neutral
- XJO is struggling with 200MA which if failed can drag down some of these highly volatile stocks
I think bulls have more power at the moment. However, for anyone who wants to enter this stock, better wait for the confirmation of breakout from the . if the breakout fails, you can place your orders around 1.375 or 1.3 or 1.265 or 1.2 in that fight zone and swing trade the zone again but DYOR.
I will keep an eye on this stock for you and update you when any action is required.
For the time being stay safe and have a profitable trade week. Don't forget to smash the likes.