| Author | Source |
|---|---|
| u/possibly6 |
Salutations once again sweet apes, u/possibly6 here with your daily price action recap and price targets for tomorrow, and of course I’ve got bias to confirm your bias of confirmation. unbiased ofc.
As always, this aint no mothafuckin financial advice, hoe. The views expressed here are solely my approach to investing in this specific equity. I ape an am.
obligatory.
If you read my post from yesterday, you’re dope. If not, my TLDR was as follows:
TLDR: lots of pictures and colorful lines, GME go up. Expecting a low of around 172 tomorrow before a slight reversal around the 217 area. Possible but highly unlikely we fall back to 165 before 217. Don’t day trade GME. if you do, fuck you. Sorry not sorry don’t be a bitch.
Emphasis on the “fuck you” part. Seriously, don’t you fucking dare.
I want to clarify, EW gives price targets, not necessarily time stamps. In my last post it may have seemed as if I was implying 217 was to happen today. 217 is indeed the level I am watching to complete wave 3, but upon doing more analysis of my charts and comparing price action to previous time periods, I think I found some juice stuff.
gotta have at least 1 meme innis bit
Here’s my view of GME today:
Sure enough, price dipped at open as predicted, hitting just below my LOD target of 172. I took off my fib levels after it hit, but for reference, this is what my chart looked life before my low target was hit:
Remember, after a wave 1, wave 2 targets a 50% retrace of wave 1 at the minimum, though often times it hits the 61.8 level. Look where we bounced today. Sure we dropped a bit below, the reasoning for this is because HF are hunting for STOP LOSSES. In some of my previous posts I have talked about this, but technical traders trade around these levels and set their SL’s just below these fib levels. Shorties often times push price just below these levels to hit SL’s and scoop up as many shares as you can. In short, DO NOT HAVE A STOP LOSS ORDER QUED. EVER.
In EW speak, we didn’t make a new high or low today, thus still waiting for volume to pick up to really move the stock. I’m gonna disregard EW for a bit now and go back to the style of analysis I did when I first started making DD by comparing previous periods of GME to now. boy oh boy, I’ve got some confirmation bias for you.
Let’s start with where we’re at now. Here’s a daily view of GME over the past few days just so you can visualize price action.
For anyone unfamiliar with how to read candles, green candles mean the stock closed higher than it opened, and red vise versa. The wicks are the highs and lows price hit in the aggregation period (ie. daily is 1 candle/day, 5m is 1 candle per 5m etc), for green candles, the base is the open and the top is the close. Red the top is the open and the bottom is the close.
Simplified with this image:
How to read CANDLES MOTHAFUCKA
Before I draw conclusions, we need to look at the previous price action in relation to the FTD cycle. I found this image on the sub a few days ago so you can visualize the FTD cycle:
i guess January isn’t quite the best comparison because the Jan squeeze got way out of control with all the media attention and celebs (think Elon tweeting GAMESTONK). I’m technically looking right before the FTD cycle, though the candlestick patterns remain intact.
Let’s start with January:
The next day:
What I want you to take away from this is the huge surge in price, followed by relatively flat days, or consolidation. Now compare that to where we are now above^
Now lets look at February, the difference here was the massive spike was actually on the t+21 day.
As you can visualize, we had our big spike on the FTD day, opened considerably higher the next day and began to fall. Below is on-demand data from the above dates to view the intraday price action (specifically after hours).
Now compare this to now:
idk(6) about you, but I can see the similarities clear as day. In February we consolidated after running from 40-200 for 5-7 days depending on how you look at the candles before running from a low of 86 to a high of 348.5.
So using this info, that leads me to believe that GME will likely stay relatively flat for at least 2 more days before attempting to make the next leg up.
At the end of the day, we likely won’t see anything too crazy with the price until the new DTC rules are put in place. I firmly believe RC and the gang wanted to set the squeeze off on 4/20, but the passing of the rules got delayed. My advice is to closely follow the FTD cycle, as this is when the most explosive moves happen. My honest guess is the squeeze will start on a t+21 day. Not going to speculate on that though, it comes down to the DTC covering themselves and putting protective measures in place.
We will get our bananas soon.
In terms of where I think price will travel tomorrow, my buy areas are the same as yesterday (low of around 172) but there is a low possibility we retrace and retest the .618 level again at 165.2.
The lowest I see GME going (not that I have any reason to believe GME will take a sudden dump tomorrow) is no lower than around 145, as otherwise waves would have to be re-drawn.
Upside target for wave 3 of 5 inside the 3 of 5 (sorry, this hurts my head just as much as it hurts yours) is around 196-197. If today indeed was the bottom of wave 2, and I believe it was as we hit the .618 level (172) and rebounded shortly after.
Wave 3 targets a 1.618 move of that of wave 1, visualized by the purple 161.8% line below (the smaller waves I’m talking about are drawn in yellow, I usually dont draw on my trading platform bc they’re minute and I know what to look for, but for learning purposes the stocks trajectory should look something like this IF wave 2 completed today at 172:
These lines are for visualization purposes and in no way assume price will 100% hit the 1.618 target tomorrow. This is simply the level I am watching to see price retrace a bit after hitting.
I’m lost, to be honest I can’t even tell what’s logical and what’s not anymore. All I know is Buy and Hodl and get high af after market close.
As always, if you read everything, I appreciate your time, and I hope you learned something useful!
TLDR: Read da post ape. Price action eerily similar to other time frames just before we saw extremely explosive price action. Assuming the patterns are valid, expect GME to be relatively sideways for the next day or 2. Also, don’t fucking day trade GME.
