Being an avid chartist as the first principle of setting up scanning opportunities for optimising entries and exits, for maximising capital profits,
I use multiple timeframes in many aspects; Here is one example;
This shows double top sellers at 1.6 on hourly, daily with what looks like an island reversal, after the spinning top on the 13/10,
major trend change from the massive 1625% increase from lows of 10c in 7 months, seems to be justified by the
higher time frame weekly island reversal, big red engulfing candle;
"A two candle pattern, engulfing pattern is one of the most powerful patterns in candlesticks. It occurs when the second candle (latest candle) completely overshadows the previous candle or completely engulfs the previous candle"
"The pattern is also more reliable when it follows a clean move higher. "
"Before acting on the pattern, traders typically wait for the second candle to close, and then take action on the following candle. Actions include selling a long position once a bearish engulfing pattern occurs, or potentially entering a short position.
If entering a new short position, a stop loss can be placed above the high of the two-bar pattern."
Seems like at least a 50% retrace to 86c, probably due to the BFS delay and the massive price increase of 16 times in half year, certainly due for
some form of testing pattern, back to the 2012 breakout around .995c coinciding with the .995c- 1.02c gap on the 30/9/2020 - 1/10/2020.
Unless chi-x data from comsec iress charting says otherwise---which shows high 101.5 low 1.02
few big wicks here on monthly, adding to downward pressure indication, so not surprising that price action suggests a retrace, which would
be better for the longer term trend.
good oppurtunity to stack the sell side to buy some shares below $1, as visuals guess is >50% probability of medium term downtrend, which infers a long delay to the BFS, proving that charts rule as the go to first principle.
