Yes the chart I posted was a daily to show my short term target. Longer term I would use ICE services to show their effect of the consolidation as the old 40c is now $2. Taking that into account if we go back in time you see the true potential of where this is heading.
Not just a reverse head and shoulders but even on monthly charts we are looking to finally break out of the “longer term downtrend” from the peaks of $6.98 and ~$6.10.
I use a triple screen trading system to read my charts, wider long term trend, indicators and then the shorter term trend to identify my opportunities.
Eg. monthly to identify breakout from down trend, weekly to confirm, daily to determine entry and exit if trading (I’ve been long since 2015/16). Then use indicators like the MACD and RSI to check levels of overbought or oversold as the market is just a function of oscillation between fear and greed as companies swing between under value and over valued as people have different views on fair value.
Volume is also key to interpret price action. We’ve been seeing volume steadily creep up and in line with the price trend indicating more and more money is flowing in. My 2c is the Instos are back from holidays and super fund managers in Australia constantly need to be looking for places to allocate capital as this is a constant source of inflow of cash available as super approaches the 12% requirement in Australia.
Charts are very good to explain what’s happened but the right hand side of the current price line as you said can be manipulated by any one to suit their agenda such as a particular crash dummy who has a rather apt name to subconsciously spark even further fear and every red day confirming biases.
Special thanks to
@M92 for the charts, a valuable contributor both on and offline.
