MGL is at a crucial point with multiple signs of movement
Updated
MGL is at a crucial point with multiple signs of movement and we are tracking a little ahead, hence it can go up or down basing on the next candlesticks
Reasons/Traits :
• 20 EMA crossing 50 EMA from below
• Daily trend is at resistance/supply zone
• Inverted head and shoulder formation can be seen (Chances of going up)
• Descending Broadening Wedge pattern can also be seen (Chances of going up/can be failure)
• Last two daily candle stocks shows Dark Cloud Cover Pattern (Chances of going down)
• Volume is constant, ADX is below 25 (weak trend) and RSI is ascending and currently at 60
• Last daily candle retraced till 0.236 fib levels, if in uptrend, this retracement can lead to a sharp up move
What can happen next :
Scenario 1 : Above 1200 can go up to 1285 levels with a retest of the 1200 supply zone levels
Scenario 2 : Below 1200 can retest 0.236/0.5/0.618 fib levels and can go till the supply zone of 1080
In both the scenarios, a retest is required at supply zone to follow respective trend. Let’s see..
Disclaimer : This analysis is only for educational purpose and not be considered as any trading idea/tip. Please consult your financial advisor before you take any trade and we are no way responsible for your profits/losses. Thank you!
Reasons/Traits :
• 20 EMA crossing 50 EMA from below
• Daily trend is at resistance/supply zone
• Inverted head and shoulder formation can be seen (Chances of going up)
• Descending Broadening Wedge pattern can also be seen (Chances of going up/can be failure)
• Last two daily candle stocks shows Dark Cloud Cover Pattern (Chances of going down)
• Volume is constant, ADX is below 25 (weak trend) and RSI is ascending and currently at 60
• Last daily candle retraced till 0.236 fib levels, if in uptrend, this retracement can lead to a sharp up move
What can happen next :
Scenario 1 : Above 1200 can go up to 1285 levels with a retest of the 1200 supply zone levels
Scenario 2 : Below 1200 can retest 0.236/0.5/0.618 fib levels and can go till the supply zone of 1080
In both the scenarios, a retest is required at supply zone to follow respective trend. Let’s see..
Disclaimer : This analysis is only for educational purpose and not be considered as any trading idea/tip. Please consult your financial advisor before you take any trade and we are no way responsible for your profits/losses. Thank you!
Note
Scenario 2 all targets achieved!Note
Consolidating, to go up or down... Lets seeTrade closed: target reached
all targets achieved
Disclaimer
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