This is a methodology that a friend and I have been collaborating on for the last couple of weeks. It combines Wyckoff, S/R, and price action (plus 2 indicators 200 ema and stochastics). Here we go.
1. New swing high on 12/23/14, also showing a divergence between stochastic and price (often a continuation of trend on pullback)
2. Gradual sloping uptrend based on...
Volume has been barely average recently. The EMA’s are headed higher after a recent cross, but we can’t trust them all too much because this has been bouncing back and forth like ping pong. The SMA’s are still sideways and closing in on each other. Stochastics are headed higher into overbought territory, RSI is headed toward being overbought and MACD looked like...
We are seeing a double top pattern in formation. There still has to be confirmation for it to be complete. This stock might continue tanking but I would not take my chances. The double top pattern once confirmed is very accurate but without confirmation its pretty risky and the probabilities for failure are high. The stock price is under the 200 SMA for the first...
