AMC Santa Claus rally Incoming?
AMC is starting to break the descending channel that has been ongoing since the 16th of November (2021). AMC has been trading under descending resistance and descending support. That has pushed the price below the 200SMA which has made AMC enter a bear market. Right now AMC had a short term retracement to the high level of 26$-27$. Price does not want to get rejected at these levels. The price 26-27 remain strong support levels confirmed by volume. As of now AMC is looking to break the VPVR node which is located at 29.5-30$. That is a large resistance to break. Once broken witch a significant amount of volume and respected for a good amount of trading hours it will become a stong support level.
On the 2h Chart AMC is looking very bullish due to the fact that we have a bullish TK cross above the Ichimoku Cloud. This is usually a signal of a strong uptrend. As mentioned in my previous idea about AMC we are in a inverse head and shoulder formation. The right shoulder of the pattern is right now under construction almost at the finish line.
Next resistance from here will be the 200SMA + bearish OB (Orderblock) resistance at 32-34$ which could drop the price for a slight retracement back to 30$.
The MFI is indicating bullish divergence which means that AMC has started a potential reversal to the upside. It also looks like AMC has formed a good amount of support at 28.5$ which is a large VPVR node that needed to be broken today for AMC to enter a bull market. So far everything looks fantastic. I am hoping that AMC pushes to 32$ by the end of the year to put a lot of options in the money which will later push the price above the 200SMA and confirm a large upswing on AMC. The indexes are still looking strong (S&P 500, Nasdaq 100, US30) which will help AMC break resistance and enter a bull market after being bearish for over a month. In my opinion January is going to be an amazing month for AMC share holders.
My pricetarget of the inverted head and shoulders is still 40$ as mentioned previously if we break the 200SMA + the bearish OB which is at the neckline of the inverse head and shoulders.
*WARNING!* This idea should not be taken as financial advise. I am not a financial advisor.
Thank you for reading.
On the 2h Chart AMC is looking very bullish due to the fact that we have a bullish TK cross above the Ichimoku Cloud. This is usually a signal of a strong uptrend. As mentioned in my previous idea about AMC we are in a inverse head and shoulder formation. The right shoulder of the pattern is right now under construction almost at the finish line.
Next resistance from here will be the 200SMA + bearish OB (Orderblock) resistance at 32-34$ which could drop the price for a slight retracement back to 30$.
The MFI is indicating bullish divergence which means that AMC has started a potential reversal to the upside. It also looks like AMC has formed a good amount of support at 28.5$ which is a large VPVR node that needed to be broken today for AMC to enter a bull market. So far everything looks fantastic. I am hoping that AMC pushes to 32$ by the end of the year to put a lot of options in the money which will later push the price above the 200SMA and confirm a large upswing on AMC. The indexes are still looking strong (S&P 500, Nasdaq 100, US30) which will help AMC break resistance and enter a bull market after being bearish for over a month. In my opinion January is going to be an amazing month for AMC share holders.
My pricetarget of the inverted head and shoulders is still 40$ as mentioned previously if we break the 200SMA + the bearish OB which is at the neckline of the inverse head and shoulders.
*WARNING!* This idea should not be taken as financial advise. I am not a financial advisor.
Thank you for reading.
Feragatname
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