Netdragon...Correcting in a wave "b/2"!
Hello Traders,
Netdragon has made a high @ 24.50 on April 18,2019 and is correcting since in a „three-down“ so far. This is to my view wave „a/w“ of a flat correction, that can take the stock into a range at first to 19.45. This is the .382 fibonacci of the advance from 11.30-24.50! More bearish potencial exist.
It is a challenge to count this stock, cause of the bullishness to the advance. The stock has gained 15 weeks in a row (open to close) and rallied extremly. By observing the Volume, you will notice, that most of them, gained into the stock as possible wave „iii“ was developing and set the stage for wave „v“. I think that the pricerange from 17.90-24.50 is important for traders who enter that stock that late, `cause below the possible wave „iv“ range a lot of Stop loss orders are placed, to protect their positions.
If the high at 24.50 is wave „a/1“ we have a wide range for the stock to correct. This range last to 19.45-16.35 (.618 Fibonacci). If this count work out, the stock has a basis to rally, after the correction is done, for the rest of the year, maybe longer. The future for Netdragon seems positive!
We will watch the stock in the comings weeks and month and analyze this.
Have a great week....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!
Netdragon has made a high @ 24.50 on April 18,2019 and is correcting since in a „three-down“ so far. This is to my view wave „a/w“ of a flat correction, that can take the stock into a range at first to 19.45. This is the .382 fibonacci of the advance from 11.30-24.50! More bearish potencial exist.
It is a challenge to count this stock, cause of the bullishness to the advance. The stock has gained 15 weeks in a row (open to close) and rallied extremly. By observing the Volume, you will notice, that most of them, gained into the stock as possible wave „iii“ was developing and set the stage for wave „v“. I think that the pricerange from 17.90-24.50 is important for traders who enter that stock that late, `cause below the possible wave „iv“ range a lot of Stop loss orders are placed, to protect their positions.
If the high at 24.50 is wave „a/1“ we have a wide range for the stock to correct. This range last to 19.45-16.35 (.618 Fibonacci). If this count work out, the stock has a basis to rally, after the correction is done, for the rest of the year, maybe longer. The future for Netdragon seems positive!
We will watch the stock in the comings weeks and month and analyze this.
Have a great week....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!