1. Head and shoulders 2. Bearish MACDH divergence 3. Wave 4 ending
The base has held (obviously). 2 possibilities: (i) DJI will head to re-test the upper edge of the BT a 4th time (ii) We are in a wave 2 bounce. There is enough concerted stimulus globally that (i) is more likely. Also the vaccine will most probably be out end of the year max and things will go back to normal.
(i) Ascending Wedge nearing the 3rd contact point on the upper edge (ii) Elliot Wave 4C nearing the Fibonacci 76.4% retracement, which coincides with the bottom of Wave 1 (iii) Bearish MACDH divergence on the 4h charts
BABA either bounces to test the 50% retracement (Wave II scenario) or Breaks down here and melts down to form an immediate Head and Shoulders breakout
H&S, with a Descending Broadening Wedge likely to bottom at the neck line Picture says it all
Falling Wedge Bullish Divergence at 76.8% retracement Reversal candle at falling wedge base
(i) Likely Wave 4 retracement (ii) 38.2% retracement (iii) Ascending wedge (iv) Descending Broadening Wedge upper edge resistance (v) Bearish MACD, MACDH divergence Short for wave 5 then go long for the breakout of the DBW!
Right shoulder bounce about the start Descending Broadening Wedge + Indicator Bullish Divergence corroborate the setup.
Neckline, Right Shoulder about to form. The descent is a Broadening Descending Wedge with a TP that corroborates the H&S Bullish indicator divergence also supports the Right Shoulder bounce coming.
Setup: Potential Rising wedge / Wave C completion Indicators: MACDH made a significantly lower high Wave form: TCP / Rising wedge breakout downwards
Short-term Ascending Wedge, Mid-term Broadening Top Short-entry Signal: Ascending Wedge upper edge + Bearish MACD divergence
Setup: Broadening Top (Weekly Chart) Status: The current down-leg appears to be starting Wave 4 upwards, which should see the DT line tested this coming week. Indicators : Stochastic bullish cross + Reversal candlestick as entry signal. Stochastics still dropping and converging, --> The short-term down trend isn't over, which confirms the current bounce is...
1. Setup: Potential Ascending Broadening Wedge, TP $54.2 2. Invalidated by a close below the lower trend line
Setup: Wave 4C Bearish engulfing candle Stochastic bearish cross, MACD failed cross