As the next report for earnings and revenue is tomorrow i expect some volatility kicking in. If take a look at past days they always caused some volatility. It is to note however that the kind of reports (positive or negative earnings) never gave a hint in which direction it would go only that some volatility was coming in.
Next thing to mention is the weakness of price, as it failed moving to the 50% of the Fib. See the red circle. A big sell- out followed that weakness.
There are currently 2 scenarios which i´m looking for.
Scenario 1 (Orange arrow) Requirements: Price falling below S/R Level 2 and S/R Level 4 but retaking them after. Target: Slightly below the 50% Fib, thats also the area where the last big sell-out started and caused the recent uptrend to stop. (+40.32%) Entry: Retake and a daily close above Stop- Loss: None (Long- term hold) Invalidation: Price cant retake the mentioned levels or price never falls below it
Scenario 2 (Blue arrow) Requirements: Price falls into buy zone 1 Target: Slightly below the 50% Fib, thats also the area where the last big sell-out started and caused the recent uptrend to stop. (+40.32%) Entry: See Requirements Stop- Loss: None (Long- term hold) Invalidation: None (Long- term hold)
Good luck
Disclaimer: - My posts are mostly for my own journaling - This information does not constitute as financial advice and is only for educational purposes. I am not your financial advisor. - You trade entirely at your own risk - Make your own research - Finance and trading is evil, capitalism is bad, duh ;)
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Well PLTR knows no chill ;). As assumed volatility kicked in on Earning and revenue reporting day.