Ericsson looking bullish? Possible target SEK 148?
Ok let's do some crazy predictions!
ERICSSON has been forming a cup and handle over the last few years. Doing a cup and then a perfect retrace (handle) to the 0.618 fib.
The resistance of this cup has recently been broken and is now being retested (red circle).
Now, the conservative next target is the resistance area around 118 (orange circle). HOWEVER (here comes the crazy part), if we take the low and the high of the cup (96-44) and we add that to the top of the cup (96), we get a target of SEK 148,-!!!. Which happens to be exactly the next major resistance area (green circle).
This scenario might take years to play out though, as has the cup and handle formation. However, interesting enough to show you.
ERICSSON has been forming a cup and handle over the last few years. Doing a cup and then a perfect retrace (handle) to the 0.618 fib.
The resistance of this cup has recently been broken and is now being retested (red circle).
Now, the conservative next target is the resistance area around 118 (orange circle). HOWEVER (here comes the crazy part), if we take the low and the high of the cup (96-44) and we add that to the top of the cup (96), we get a target of SEK 148,-!!!. Which happens to be exactly the next major resistance area (green circle).
This scenario might take years to play out though, as has the cup and handle formation. However, interesting enough to show you.