LBRT has recently completed wave C of an ABC correction pattern, touching the lower trendline of a long-term ascending channel. This level aligns with the 1.028 Fibonacci extension ratio ($15.17), acting as a strong support zone.
Current Observations:
- Price has retraced to a key support level within the channel.
- RSI (14) is in the oversold territory (28.60), historically indicating reversal points.
- The confluence of Elliott Wave structure and trendline support suggests an upward move.
Potential Move:
A bounce from this support zone could lead to a bullish recovery towards the mid-channel range (~$17.42) and possibly retest prior highs (~$22-$25) if momentum builds.
A strong bounce here could signal the start of a new impulsive wave (Wave 1 of the next bullish cycle). Confirmation with increasing volume and a break above the short-term moving averages will further strengthen the bullish bias.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.