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Rsi_oversold

Abbvie $ABBV Switching to Higher Gear for a Break OutDear Fellow Risk Takers, Happy New Year and I bid all of you a very profitable 2015 ahead. Here’s my first Break Out Trading Idea for 2015. Price for ABBV has been trading along a gentle and steady upwards channel, from April 2014 to Nov 2014. Current price action has broken above the upper channel line. In other words, price was gently bullish and now shows intention to become very bullish. Next I would like to draw your attention to the RSI (14) indicator. You will note the RSI low at corresponds to a price of $52.50 and the next RSI low at matches a higher price of around $64.50. In other words RSI(14) is reaching oversold levels at a much higher price level, which indicates a bullish signal. Current price pattern is potentially a classic wave pattern, with Impulse Wave 1 and Retracement Wave 2 defined. If price breaks out on the upside, it is likely to form Impulse Wave 3 (strongest wave). We can only confirm this from hindsight, however we simply cannot rule out this possibility. From and we project that price is likely to break out higher and potentially form Wave 3 of the Elliott 5 wave pattern. Long Entry Condition> Any time from now as long as price stays above 67.00 Stop> Below $64.00 Take Profit Method 1> When price is close to reaching $80.00 Take Profit Method 2> When RSI(14) is close to reaching 77.0000 Time Limitation> All long positions should be closed by 24 Feb 2015. If the break out move is genuine, Price should reach the Take profit levels by 24 Feb 2015. Risk: There is a risk that new market information, available during the Earnings Release on 30 Jan 2015, may negatively affect the price action. There is also a risk that this is a false break out where price will face strong resistance at $69.00 levels resulting in no breakout momentum. Using Support and Resistance Levels of Relative Strength Index> Technical Analysis for the Trading Professional by Constance Brown, Chapter 1: Oscillators Do Not Travel between 0 and 100. Elliott Wave> stockcharts.com Like it, Share it, Follow it~ Trading View: BreakOutArtist StockTwits: stocktwits.com/BreakOutArtist Twitter: twitter.com/BrkOutArtist TradeHero: BreakOutArtist Facebook: www.facebook.com
NYSE:ABBVLong
by BreakOutArtist
3
Rite Aid: 3 Drives Pattern & Harmonic PullbacksThe last time I looked at this stock I had a bullish Bat Pattern on my radar, which resulted in a move back up to previous structure before continuing short. That movement down ended up being the 3rd drive in a bullish 3 Drives pattern (in yellow) and what I would expect is a minimal move back up to previous structure (orange arrows). Typically when traders look at harmonic moves they only look at the extensions and not the retracements like in a normal AB=CD pattern. But when the market is moving harmonically it will often give us pullbacks that are equal moves to the previous pull backs. In this example a 3rd equal pullback would place us exactly at the previous structure level providing a great exit place for short term traders. I don't follow the stock market as much as I used to so I'm not up to date on Rite Aid's fundamentals but I do know that it recently beat earnings projections, but also lowered it's earnings guidance for the second time this year. Regardless I'm still bullish this stock both as an investor and trader and this looks as good as a point as ever to enter.
RLong
by Akil_Stokes
AUDCAD: Double Bottom at Right Shoulder (Both Charts)Recorded a video of this trade to my Synidcate members earlier in the day but ran out of time to post this before my Live Room started. But with not a lot on my radar this morning AUDCAD was a pair that really stood out to me. Not only has the market put in a beautiful double bottom along with bullish divergence and the RSI being oversold. But we're also right at the dollar mark which should act as a pretty powerful psychological level. Now at first glance I thought I would have to let the trade go as I didn't see a significant level of structure, but as I checked my higher time frames I noticed that "looking left" we did have previous structure in the form of a left shoulder. This is very similar to the setup we captured on the EURJPY a few weeks back. On the chart I drew 2 different levels of where to think about taking positions off depending on if your more on the aggressive side or the conservative side. Akil Also, here's the link to my latest Weekend Review video "Has September Been Frustrating?" talking about why September is often a tough month for pattern traders, or non trend continuation traders. www.youtube.com
Long
by Akil_Stokes
8
GBPAUD: Structure Trade With Amazing Risk RewardThis morning I recorded a video looking at a bullish Gartley opportunity that I missed. By the time I got my orders in price action had move well beyond the original entry point offering a much better risk/reward. Hours later we are still holding on tot he very last bit of structure and are attempting to put in a double bottom depending on the close oft his current candle. Between the structure level, advanced pattern, RSI being overbought, the retest of structure and the RSI divergence. I'd say this is a heck of an opportunity to get long. Just look at the potential risk reward. Targets a little lower at structure still make it more than worth it.
Long
by Akil_Stokes
27
EUR/USD Channeling up to previous High, Resistance & Fib. levelBased On: Structure, Fibonacci levels, Channel, Stochastics, RSI, Momentum.. IF EUR/USD Reaches 1.3648. Economic Calendar events will effect this heavily, i am looking forward to a volatile day (TODAY:EUR Interest Rate, Decision, ECB Press Conference, US Nonfarm Payrolls, US Unemployment Rate, ISM Non-Manufacturing PMI ) If these events will be positive for EUR and Negative for Dollar, this could be a fast move (1day). Then ==> I will Buy EUR/USD, I may however buy it at a slightly higher price as the price action up has already strated, but it would be safer to wait till the price drops and then but, it could also not happen. (IF EUR/USD will go up very slowly THEN i will take some profits of early) IF Today's big economic calendar events goes in conflict with a move up THEN ==> i will close my position and possibly open it again if an opportunity presents itself. Thoughts & Why's UP SIDE There is a clear channel that is going up and is likely to continue. Stochastics RSI is Oversold at 11 (11.4) Momentum is gaining Strong structure (6-8 points) US Dollar INDEX (DXY) look's like a sell along with USD/CHF ( ) so EUR/USD should go up as dollar weakens. There is also a double bottom, which is also a medium sign that EUR/USD is going to go up in short term. DOWN SIDE 1. Major Fibonacci Level 0.382 2. Structure (Confluence with Fib Level 0.382) A major 0.382 Fibonacci level at 1.3689 that and structure right there as well. When Fib Level 0.382 (EUR/USD=1.3689) a retracement will probably take place if Dollar index goes down. IF you like my ideas and want to say thanks, please like&share them. As always thank you for viewing & till next time.
Long
by Wizard
1