Bearish Divergence on a downtrend = continuation
MACD crossover and left oversold areas = confirmation
IKH Downward crossover + next cloud is down = confirmation
Correction of Arm Holdings PLC price suggests buyout failed = Less sentimental worth
I decided to place my S/L at a tested area of resistance and T/P on the lower price range
On my previous idea, my wave count was correct on the 1H chart, the motive was a downtrend.
To add to the confirmation of a trend, there is a bearish divergence and towards the lowest prices we see 2 key areas of support/resistance.
My corrective waves were placed on these supports and I extended the 3rd wave, following the downtrend.
With this recent high...
Price formed a higher low and the MACD oscillator formed a lower lower resulting in a Hidden bullish divergence
Price will correct just above the S/L as that is a area of resistance and then the trend will continue upwards
My wave count works out as I plotted my ABC corrections last night before price got there
The MACD appears to almost have a sell signal and is below the histogram
Price may re-correct at the bottom of the next 1h so be ready to catch early pip
On the 30min chart, the base line just touched the price from the bottom indicating a strong buy in my opinion
Price has risen above the 200 EMA further signalling a buy as IKH aims to keep you trading in the direction of the trend
The lagging line remains a distance from price showing the upwards trend may be gaining momentum
Finally, the senkou span is green,...
Both the 30mins and 1h charts give a confirmed downward trend:
Base line crossed under turning line
lagging line is a distance from the price which indicates a strong trend
The senkou span is downward which further indicated a downward trend
Finally, I plotted a 200 EMA to keep my mind open for the long term trend, and it has just pivoted downwards
May bounce of the .618 retracemnt level with backup support from previous tests at that level. The 200 EMA remains above the price and by the time it has hit the T/P I believe that the EMA will still remain above price.
S/L: 1.18316
T/P: 1.18435
