We have an Inverse Head and Shoulders Visible on the Monthly timeframe with triple MACD and RSI Bullish Divergence and a Monthly Bullish Engulfing. I will position now and take profit at the neckline and then again at the previous ATH.
Neo seems to be preparing for next bullish move, after a clear retest of the iHnS neckline!
Also, we can see that 100EMA is supporting it so even more reason to enter a swing trade now.
Current Price= 39.780
Buy Entry= 39.752 - 39.152
Take Profit= 48.981 | 64.997 | 99.482
Stop Loss= 34.689
Risk/Reward= 1:2 | 1:5.36 | 1:12.6
Expected Profit= +48.30% | +129.50% |...
We got Daily Bullish Divergence on both the RSI and MACD and are at a potential Right Shoulder of an Inverted Head and Shoulders Pattern.
I would long here and set my stop below the last low.
Profit taking at the 38.2% Fibonacci retracement.
More times than I can remember, the inverse head & shoulders breaksdown before completion.
This is my projected candle path for this setup.
I did look at the possibility we would go up again to 41-43 before going down but I don't think that is where we are at.