Having found support at the 200 day moving average, price is now forming a rising wedge which we expect to break to the downside. From a cycle perspective, price is seeking a half cycle correction before moving higher towards the objective of filling the wedge. Onve we have a cycle high we expect price to go down breaking the wedge support towards the blue and pink support for a turnaround.
Comment:
ANH is pressing the 200DMA & support of the wedge, very bearish if it breaks both down as double support is strength for bulls. ANH also seems to be carving out a H&S pattern, dark clouds are gathering around this share.
Comment:
ANH is pressing against the weekly trendline resistance which is at the same place as the 200 day moving average, usually week 12 is precedes a downtrend into a half cycle correction. If we see price action about to close above the green trendline we can close the short position as price will be seeking a weekly high. Original idea was premised on more failed cycles, since 31 July was not failed we are aware price wants to confirm 12 June as a weekly low.
Trade closed: stop reached