Technichal analysis on chartHello gang,
Just calculated some fibo projections based on initial price open of 1.15 to current high of 2.36.
38.2% is at 1.90, and as you can see, we are retracing past that point, although there was some noteable bouncing in that range for a bit indicating it is a valid level to watch.
50% is at 1.75 which is pretty much where we colsed today.. Should expect a bit of hang up here as well, but its normal in the technical analysis aspect. At this level we could go a little lower yet to the 61.8%, or bounce back up from here. Not a bad place to add if one is considering getting in, however overall market jitters are clearly at play here for the time being anyways.....SO
61.8% is going to be my guess as to where we stop next which is 1.61ish.. give or take half a cent. There is also a confluence of a supporting trendline here so that adds some extra resistance and hence would be the ultimate place to add shares if one were playing things this way in a technical sense. The chart pattern is also reflective of a descending wedge or bearish flag which is also a bullish chart pattern. I'd expect the bounce at the 1.61 level.
IF we get down to 1.42ish, then in a technical sense, that is 78.2% I believe, and in elliot perspective, is a reversal-like indication, and where one would want to consider some other options perhaps..
So, what does one do here? Take some profits? Set a stop loss, and watch levels? I'm not sure. I've been reading all sorts of articles that are generally stating that it is going to be a commodities year ahead of us, meaning we should do well. The problem is the Middle East right now, or should I say False Flag operation and Imperialism knashing its ugly head. In any case, it could be a very interesting year ahead of us.
All the best to CPT holders! M.