POV: ULTRACEMCO - Edge of Channel Breakout
POV: ULTRACEMCO - Edge of Channel Breakout
1️⃣ Channel Formation:
The stock has been trading in a range of ~12–14%, forming a channel. The top of the channel has been tested 4 times, confirming it as a strong resistance zone.
2️⃣ Last Leg Setup:
The last leg started with:
- A double bottom pattern.
- Divergence indicating reversal.
- A bounce back after taking support at the 200 SMA.
3️⃣ Consolidation:
After reaching the top of the channel, the stock is consolidating instead of pulling back—a positive sign for a potential breakout.
4️⃣ Flag Pattern:
The 5-day consolidation appears to be forming a **flag pattern**, adding to the bullish sentiment.
5️⃣ Concerns:
- Volume is around the average, lacking the confirmation of a spike.
- Entry is set slightly above for safety due to range expansion, which is nearly 100 points away.
Disclaimer:
For educational purposes only, not financial advice.
#NiVYAMi
1️⃣ Channel Formation:
The stock has been trading in a range of ~12–14%, forming a channel. The top of the channel has been tested 4 times, confirming it as a strong resistance zone.
2️⃣ Last Leg Setup:
The last leg started with:
- A double bottom pattern.
- Divergence indicating reversal.
- A bounce back after taking support at the 200 SMA.
3️⃣ Consolidation:
After reaching the top of the channel, the stock is consolidating instead of pulling back—a positive sign for a potential breakout.
4️⃣ Flag Pattern:
The 5-day consolidation appears to be forming a **flag pattern**, adding to the bullish sentiment.
5️⃣ Concerns:
- Volume is around the average, lacking the confirmation of a spike.
- Entry is set slightly above for safety due to range expansion, which is nearly 100 points away.
Disclaimer:
For educational purposes only, not financial advice.
#NiVYAMi
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.