ETN1/N trade ideas
ETN - Increased Probability of AppreciationThe Fibocloud configuration indicates an increased probability of appreciation towards the first target. The final target should be tested, provided the stop loss is properly repositioned at the time of the first partial realization.
If this projection is confirmed and a partial realization occurs at the first target, the stop loss should be moved from its initial position to the same line where the position was opened.
This way, the journey towards the final target will proceed with the preservation of the partial gain and an exponential reduction in the risk of losses in the trade.
Let's see what happens here?
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Is Eaton Attempting a Breakout?Eaton has flirted with record highs, and some traders may be looking for a breakout.
The first pattern on today’s chart is the price level around $175 where ETN peaked in late 2021. The industrial stock inched above the peak in March before pulling back. In the process, it made a higher quarterly low (for the fourth straight quarter). That tightening price action could suggest investors are willing to buy at increasingly higher prices.
Second, previous dips brought the shares below their 50-day simple moving average (SMA). But this month they managed to bounce at that line – a potential sign of the intermediate-term trend improving.
Third, earnings have beaten estimates for the last several quarters.
Finally, the 8-day exponential moving average (SMA) crossed above the 21-day EMA about a month ago and has remained there since. That may indicate the shorter-term trend is bullish again.
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Trading $ETN to above $200Management also raised its organic growth guide for Electrical Americas on sustained strength of end market demand. Data centers (~14% of total revenues) remain a bright spot, and the company upgraded its expectations for Utility (~10%) and Residential (~8%) end markets.
Eaton has a large number of “mega-projects,” with a decent track record of winning. The influx of stimulus driving electrification and reshoring, Eaton is on the medium-term growth runway.
EATON Corporation, NYSE - Monthly Chart from the beginningEATON Corporation, PLC.
At stock exchange from the early beginning in the late '20s from the last century. An ongoing story of success.
Don't make the mistake to expect reaching the mentioned values at the ground time scale. There is no connection between these two objectives in Elliott Wave theory (!).
The share price should reach 222 US-$. After a correction in three waves in blue 254 US-$ should be the next step before Grand Super Cycle wave I in a circle (burgundy) will come to an end and a longer lasting A, B, C - correction will start and 'll lead the value of the share in the region around 120 US-$.
I, II, III...
The drawings are schematically - and the future is mentioned.
Long weekly idea - ETN13/Feb/2023 07:23 PM AUTHOR: Brandon Gum
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Risk to prior lows. High probability setup with initial stop loss entry criteria.
Measured-move take profit established from the inverted%move of the October 2022, inverted at the neckline ~$175
Daily is a lot choppier than weekly.
Industrials are strong. Rising tide lifts all boats.
THis strategy only works if breakouts continue to work. THis move is only permitted if the mrkt breadth allows it. Rising tide environment.
I have no position at this time.
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ETN ShortETN Short
Failed breakout attempt to the upside after months of consolidation
Pul back to supply zone with a retest of the zone
Wide range igniting bar/candle to the downside with new candles consolidating at the lower 1/3 of the wide range bar
Expecting a move lower if today´s low is broken
could ETN benefit from the infrastructure needs in Texas? ETN may show resilience and relative strength over the course of 2021. Check the relative strength on a distribution day, ADX/DMI and Choppiness looking to show "Trendiness". As long as the price stays above the Ichimoku Cloud This could be a nice time to play ETN to the Long side.