Why 1675.21 is important? If missed this number, this will go down and will find some supports at below. 1635.14, 61.80% of 3rd wave, will be a possible support point. Image 1 is connecting low to low. Image 2 is connecting high to low, fibo retracement.
Connect the fibo fan line from highest point(S) and next high(L). Bounced down happened many times. So down trend fibo fan lines are willing to work for resistance.
All faang stocks formed THREE BLACK CROWS which are shown in the following image as 1,2,3 numbers.
FB – Possible low is 105.76, 423.60% of 1st wave
AMZN – Possible low is 1241.35, 423.60% of 1st wave
AAPL – Possible low is 133.40, 423.60% of 2nd wave
When the rising or falling energy is generated, the level of 423.60% of stock wave must be reached. The level of 423.60% can be the value from the 1st wave, from the 2nd, or from the 3rd wave.
Nasdaq tech short ETF SQQQ is still alive. Today morning this reached 423.60% of last day’s wave and went back. (image 1)
423.60% of 1st wave reached last week.(image 2)
61.80% of 2nd wave is 13.28. Now SQQQ price is 14.03.(image 3)
13.28 and 12.02 are very important. Because this SQQQ already formed three white troops(image 4).
This mean this guy will find another 423.60% of one of uptrend waves. So tomorrow need to watch 13.28 level. If go down under, maybe #TQQQ related stock will be good in the future. (image 5)
This time how to ride the rising stock at the near bottom using Fibonacci extension and fan line. This can also explain how to attack major target levels of Fibonacci extension like 61.80, 161.80 and 261.80%. Please be noted that do not enter at 423.60% level!
See below chart and check circled spots.
The first job is drawing Fibo extensions and Fibo fan line connecting low and next low point. This is the low to low connect method. Also we can use continued price high to low connect method like fibonacci retracement. Will explain this at next posting.
Rising of stock price means going over to the upper level of Fibonacci extension. Normally the upper level will act as a resistance point. There are three ways to breaking up this level.
1) Simply going over 61.80% => Fast shutting up, so will likely go back to 61.80% or under because of no supporting. Not recommend to enter
2) Go over 61.80% with Fibo fan line => Will be OK. Continuing Fibo fan line or 61.80% level will be a base line for profit cut or loss cut.
3) Go over 61.80% with Fibo fan line and Simple Moving Average(SMA) curve => 100% success! Continuing Fibo fan line or 61.80% level will be a base line for profit cut or loss cut.
Like this, we can apply combination of Fibo indicators and SMA curve to figure out the optimal enter point. Please see three circled spots on 61.80% and 161.80% level on above chart. The end of one white candle went over upper target level and we can see SMA curve or/and Fibo fan line is placed on the white candle in a cross up or push up configuration.
When looks stock is rising from bottom, just wait. This can be a bull trap. So just wait until it will reach 61.80% level. And then checking is there any Fibo fan line or SMAs on the white candle which is ending up at the over of 61.80%. If yes, go enter and enjoy.
Good news is the continued decline has stopped at 61.80%. If you hit the orange line again, this will have good results. Circled spot is expected bouncing points.
Feels market will go down tomorrow.?. Look at charts using fibonacci. From macro view, green or orange colored fan lines will work as a support. And two additional support level I can find 1) 170.87, 423.60% 15min/30day 2) 173.78, 61.80% 15min/10day
Support levels are : 1647. If fail, next support is 1583.6.
Fail again, follows are support levels : 1565, 1547(261.80%),1320, and 1246(423.60%)
MSFT – Microsoft
Next target price is 120.40, 423.60%
Facebook – FB
– Three white troops created
– Break up through three 61.80% serving as resistance points
– Major support point is 135.15
Maximum level of this stock wave is 161.88, 423.60%
Amazon – AMZN
– Three white troops created
– Break up through three 61.80% serving as resistance points
– Major support point is 1582.58
Maximum level of this stock wave is 1983.55, 423.60%
Apple – AAPL
– Three white troops created
– Break up through three 61.80% serving as resistance points
– Major support point is 177.71
Maximum level of this stock wave is 189.52, 423.60%
Netflix- NFLX
– Three white troops created
– Break up through three 61.80% serving as resistance points
– Major support point is 270.64
Maximum level of this stock wave is 366.48, 423.60%
Google – GOOGL
– Three white troops created
– Break up through three 61.80% serving as resistance points
– Major support point is 1066.76
Maximum level of this stock wave is 1168.77, 423.60%
