Strong Technical Analysis Sees $2.2 - $2.4 SP

Like most others on this forum, have been thinking a lot about SP. Came across an interesting pattern called a cup and saucer - actually they were talking about it on Fast Money last Friday.  The below shows what I think is going to happen (im no TA, but looks obvious to me). The main variables are:

- If A2M meets forecasts, below cup and saucer pattern will hold true
- If we get an earnings upgrade, then big spike in SP, maybe $2.5-$2.6
- If A2M does not meet targets, then back to $1.5

However, global markets will have an impact. Monday will see a positive rise in the SP from US on Friday, prob kick it back over $1.7-$1.75. US markets closed on Monday so at least Tuesday will also not be influenced, so market will likely determine price - expect huge volumes IMO. Finally, Wednesday; which will be influenced by US Tuesday market and I think they will be up as there is talk about cementing no more rate hikes in the US this year which will provide a strong relief rally. This all leads to a *strong* setup - looking at past financial ANN, they are released at 7:30am. The stronger the lead up, the stronger the price rally (assuming A2 milk are performing as expected which im confident they are).

Anyway, good luck to all holders - this cup and saucer trend for me is now making more sense and quite excited about Wednesday! Tho, looking at the trend, holding on for a couple of weeks after this may lead to far greater returns - time will tell!




Source :

http://www.investopedia.com/university/technical/techanalysis8.asp