AMAT - Channel base and possible outcomesStatus Quo
- Seems that there is a base the price follows and it just reached its resistance.
- RSI, RMI, CCI are all on top of course, so the status quo is the following:
- Current action is done on decent volume
- Tripple bottom was indeed taken as support
Possible outcomes
- up - in case it breaches the channel i would expect a breakout on a high volume. I guess news would be able to cause this, but so far its not that probable. AMAT is told to show sign of being a Momentum stock
- sideways or down to the channels support. It has several times approached the resistance even with volume and wide trading range, but still the price did not go past the orange resistance level. I would suspect either potential trading towards it, then either close to it, then straight down to the support line as indicators are already on top (RMI has a good deal of green there)
Not much to predict the ending price, but channel trading is my favorite. Best of course when spotted earlier, but it still has potential to go up within it.
PS - props to Technician on a great call!
