On the last break down out of the bear wedge the price hasn't...

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29/10/23

15:09

Post #: 70599906
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Originally posted by dawgfather: ↑

One more chart. If you look at what has been happening since ~ middle of August, you can see we are repeating an ascending wedge pattern (which technical traders will tell you is bearish).

Blue lines show the ascending wedges as we hit a bottom and then trade back up for a week or two before the next major sell down. Three ascending wedges numbered in the diagram below (1,2 & 3).

Red circles show the 2x sell downs each time the ascending wedge breaks down.

LL = Lower lows

LH = Lower highs

HL = Higher Low (green line)

One thing that's interesting is that the current wedge did not create a lower low - instead it made a higher low (hopefully some sort of signal that perhaps 23 cents is the bottom)?.

We're now in our third ascending wedge which looks like it will come to it's conclusion at some point this week. it will end with a break above the downward channel we've been in for a few months now, or it will break with yet another loss of support and a fall to 23 or below.

A close above ~29/30 cents will look like we finally break this downwards channel. A close at 25 or below looks like it might indicate yet another sell down to test 23 cents.

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On the last break down out of the bear wedge the price hasn't really challenged and overcome the resistance line of the wedge. If you follow The Great Martis on X, a real bear admittedly, he's put up some frightening charts for the SPX, XJO etc. If you look at the Russell 2000 (RUT) it's in freefall, if not waterfall. Coupled with the extreme geopolitical risk in the Middle East, I decided to bail.

LRS Price at posting: 25.5¢ Sentiment: None Disclosure: Not Held
2 Upvote

0 Great analysis

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