$WGS – Bullish Flag in Final StageIf you enjoy my analyses and want access to my indicators, consider following and supporting me.
Continuing the analysis of WGS, where I hold a position with an average price of 100.19 since 02/26/2025:
The bullish flag formation appears to be reaching its final stage. In the next trading session, we should get confirmation of the breakout, likely leading to another upward move after the accumulation phase, as explained below.
Expansion and Accumulation
Between 02/07/2025 and 02/19/2025, the price experienced a strong expansion phase, driven by significant institutional buying, as evidenced by the high volume. This movement led to the breakout of the 1-month Donchian channel high on 02/18/2025.
From 02/19/2025 to 03/07/2025, the price entered an accumulation phase, with little interest from major players in liquidating positions or creating selling pressure. This behavior suggests a pause before the next expansion. Daily volume dropped significantly compared to the average volume during the expansion phase.
There was an attempted breakout of the flag on 03/05/2025, but it lacked the necessary volume for confirmation.
Volume and Support Levels
When analyzing the horizontal volume in this period, we see that it is concentrated between 92 and 103, with a key support level at 88.
This support is reinforced by the following moving averages:
📌 1-month exponential moving average (EMA)
📌 3-month simple moving average (SMA)
Next Steps
Now, it's up to the big players to decide the next move:
✅ Bullish scenario: If the flag breaks out with strong volume above 102, it will confirm the continuation of the uptrend.
❌ Bearish scenario: If the price drops below 88 and loses the key moving averages, this period could be interpreted as distribution rather than accumulation—a scenario I consider unlikely.
