AIG Channel, Build Up to Earnings!!!
AIG looks to be following the depicted Channel as shown by the upward diagonal white lines. The Downward red diagonal line is the longer term resistance for price to breakout of or be pushed back down.
The RSI on the one hour chart is moving to the oversold area and the SMII is also pointing upward, indicating that price for the short term will continue a move up.
It is probable that price will continue on an uptrend following the channel.
Most Probable Scenario:
With Earnings on 2/13 AMC, it is likely that price may reach the red diagonal resistance or the upper portion of the channel, with bearish divergence and a downward sloping SMII. Thus, sending price plummeting downward after Earnings on 2/14.
Probable Scenario:
Price follows the bottom support line of the channel, then plummets downward after earnings. Confirmation of the Bearish Divergence on the RSI and downward sentiment of the SMII cross above zero to trigger the push down.
Least Probable Scenario:
A clear break out above the red resistance will confirm a longer (swing trade reversal), indicating a long entrance.
Like, comment and share. Thank you and happy trading :0)
This is not advice to buy or sell, and is meant for educational use.
The RSI on the one hour chart is moving to the oversold area and the SMII is also pointing upward, indicating that price for the short term will continue a move up.
It is probable that price will continue on an uptrend following the channel.
Most Probable Scenario:
With Earnings on 2/13 AMC, it is likely that price may reach the red diagonal resistance or the upper portion of the channel, with bearish divergence and a downward sloping SMII. Thus, sending price plummeting downward after Earnings on 2/14.
Probable Scenario:
Price follows the bottom support line of the channel, then plummets downward after earnings. Confirmation of the Bearish Divergence on the RSI and downward sentiment of the SMII cross above zero to trigger the push down.
Least Probable Scenario:
A clear break out above the red resistance will confirm a longer (swing trade reversal), indicating a long entrance.
Like, comment and share. Thank you and happy trading :0)
This is not advice to buy or sell, and is meant for educational use.