LESSON - TECHNICAL ANALYSIS THEORY - $DAL
Added 2024-05-14 18:02:24 +0000 UTCI had to share this chart of $DAL because the confluence level is pure beauty.
The theory states that: in a bullish move, when the price action breaks out of a wedge, it will climb the total distance of the width of the wedge it broke out of.
So in simple terms, I have highlighted the width of the wedge with a white oval and inserted it at the point where the price action broke out of the wedge.
Both white ovals are identical.
The length of the wedge brings the price action exactly up to the top yellow trend line, which has been in place since 2015.
$DAL's fundamentals are so strong that this could have no issue reaching this level, at the second target at $84.
This will not happen in a straight line, as we know, price action moves in waves
And we are currently in Wave 3....so a pull back for Wave 4 and you have your buy signal.
Comments
Thanks for that! How about the first target? Is it half the distance?
Mehdi
2024-05-15 04:01:46 +0000 UTCThanks a lot for following up with this lesson. π
Tom P
2024-05-14 20:06:01 +0000 UTC
