PRX has carved a nice broadening wedge that has forced price into lower highs and lower lows. Price is currently seeking a half cycle correction after which it must challenge resistance again.
If there is a rejection on the resistance we can expect a sharp move down (can go straight down also), ideally that should have an objective of the lower support line, however we must be paying attention first to the 200 day moving average that would be higher than the trendline as a point to take profits if short. If we get there end of May or early June we will be in the timing for a weekly low, a good point to go long.
If price close above the resistance, any shorts have to be closed as a short covering will drive price up faster.
If there is a rejection on the resistance we can expect a sharp move down (can go straight down also), ideally that should have an objective of the lower support line, however we must be paying attention first to the 200 day moving average that would be higher than the trendline as a point to take profits if short. If we get there end of May or early June we will be in the timing for a weekly low, a good point to go long.
If price close above the resistance, any shorts have to be closed as a short covering will drive price up faster.
Comment:
PRX failed to close above the blue horizontal resistance, now looks to have backtested re-entry into broadening wedge in what could look like a H&S pattern.
Comment:
31 May price went below 9 May low representing a failed cycle, now Prosus has a Head & Shoulder pattern forming, the only way is for price going down.
Comment:
Prosus remains in a consolidation hold, price looks set to confirm a weekly low. This would be interesting given markets are facing headwinds.
Trade closed manually