While the higher low trade setup W3hunter spoke of broke down today with a lower low there are some positives if this is in fact the new low, which I hope it is.
On the weekly chart AGY closed today right on a long-term trend line which has acted as support since 18/10/2021. Since then, the weekly chart has wicked below it 6 times (including this week and last week but never closed below it). it has been tagged at least 14 times in support and resistance and was support in June/July 2022 when AGY dropped 50%. At this time, it wicked below and bounced off for 5 weeks before moving north. We are in week 3 now.
Moving over to the Daily.
IF this is in fact the low, the chart indicates a bullish divergence on the RSI, MACD and Stochastics. Last time we had a divergence on all 3 of these indicators, it was a bearish divergence, we were at 80.5c and now we are at 40.5c. We also have a bullish divergence on Seagull's interesting combination indicator here, which I might borrow.
Let's hope that support at 40c holds and we have some green days ahead.
AGY Price at posting:
40.5¢ Sentiment: Buy Disclosure: Held
