Hey there again,
This time i wanted to share a more clear #fractal analysis. This time with easyJet stocks. Analysis based on Fibonacci and time Cycles.
This is the first image, based on a 1 month time frame. Ill try to keep the track in less time frame and keep you guys up to date.
Just a reminder, fractals are similar among time but not equals so is just a...
I might be being a bit optimistic here with the recent negativity surrounding financial markets and the outlook for the UK generally but I posted a couple of profitable ideas on this UK share back in 2017 which despite the count essentially being proved incorrect, I was still able to make money off it. Lets see if I am right again with this suggested count or not.
Looking at the monthly chart we can see an ascending channel, look out for a bounce off this approximate level in the next few days, if so it could be the beginning of a new bull run for Easyjet.
Like this idea if you agree and follow for more like this.
The daily stochastic and RSI seem to point to a bounce soon, and there will likely be much resistance at the 1552 mark. Considering it’s oversold when looking at the daily. I wouldn’t expect it to drop below 1552. So I am suggesting a new bull run to ensue shortly.
I'm no expert, so take what I say with a pinch of salt :)
Cheers.
Further to my last chart on EasyJet the share price ran up nicely in what is perhaps 5 waves. Now it has bounced at exactly the 50% retracement of the move. I will be looking for a sustained move up to see if my forecast of a potential 3rd wave, is correct.
Check the numbers on the chart when reading each point below:
1 - Was a gap down and continued the downtrend
2 - After a reversal at 1138, Ryanair and Monarch woes have
signalled a reversal.
3 - Next Job for EJZ is to break its downtrend and surpass 1450
Rounding bottom on the daily chart and the bullish RSI and DMI indicators coupled with the bullish RSI divergence in the background (on weekly chart) suggests the jet is about to fly high. the stock price could test 1080 levels.
There's a smaller multidiagonal confluence down here and as it combines with a strong rising support zone it looks to me like it has the potential to be a good short term trade.
EZJ has been trapped in a symmetrical triangle for a few months the boundaries have held well. RSI is showing support in the 45 area indicating decent support for the bull side. Looks ready to break to the upside in the next week or so.
