Trading Plan using Trend line and Elliot Wave Theories
as you can see, right now GDB's price is declining while the trend also shows a downtrend that started at beginning of 2021 till now. If we look at a bigger time frame chart we will see that this downtrend is merely a price adjustment to locate the main trend. The main trend for this company is an uptrend. I believe that the price will rebound back upward after the price touches the main trendline and maybe create a new high.
There is also additional support that supports my claim that the price will go upward again after the price touches the main trendline. If you look at the chart, I have drawn an Elliot Wave on the upper part of the chart. This wave was taken from a chart. Currently, this wave still does not perfectly form. According to theories, the price will not fall further than the red zone and will be bound back upward to complete Elliot Wave Circle.
Furthermore, at the time price touch the zone, the indicator below the chart will cross the bottom line and rebound upward to an indicated buying signal
There is also additional support that supports my claim that the price will go upward again after the price touches the main trendline. If you look at the chart, I have drawn an Elliot Wave on the upper part of the chart. This wave was taken from a chart. Currently, this wave still does not perfectly form. According to theories, the price will not fall further than the red zone and will be bound back upward to complete Elliot Wave Circle.
Furthermore, at the time price touch the zone, the indicator below the chart will cross the bottom line and rebound upward to an indicated buying signal
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