$AMC: Huge Potential of Upside!
The market has been wild for the past couple of months. The economy is looking really bad which has caused the S&P 500 + other indices to retrace. This has brought selling-pressure to AMC causing it to trade in a large downtrend. Finally this downtrend has been broken. We made a quick push to get rejected by the 21$ level. This is a significant level for AMC due to the fact that we double bottomed at this level in December. The 21$ level is a large level of resistance confirmed by VPVR and selling volume. In addition we also had a green 9 (daily chart) on the TD-Sequential hinting for a retracement.
As of now AMC has made a deep retracement to the 7.86 FIb level. This level is a healthy long-term retracement. We have now confirmed a doubble bottom at this level. The VIX-Fix on the 4h chart indicates that we are at or near a bottom. Bullish Divergence is visible on the MFI which leads me to believe that AMC will have a retest of the 18$ level. The level of 18-20$ are large levels of resistance confirmed by the VPVR and the selling volume once reached. We also have a red 8 on the TD-Sequential on the 4h chart. The significance of the TD-Sequential on the 4h chart can be displayed while looking at previous trading days. Once a red 8-9 appears it indicates a bottom. The volume is also starting to pick up which is a good sign of reversal. For AMC to remain bullish we need to see a 4h close above 16.73 confirmed with good volume. We have to establish strong support at the 16$ level beacuse it is a large VPVR node. The EMA Ribbons are used as resistance at the 17-20$ level. When these are established as support AMC will look amazing.
AMC also has earnings in 5 days. This could get the stock price to increase significantly. The earnings are estimated to be positive which could be really bullish for AMC. If AMC beats earnings and the S&P 500 + other indices rise AMC will follow really well.
Looking at the options chain AMC will most likely be trading around 15.50-20$ this week. The most open interest is located at 20$ which is a good sign. Lower price targets are not in the cards for AMC by looking at the options chain. Most likely the week will close at or well above 16$.
*WARNING* This thread is not financial advice. I am not a financial advisor.
Thank you for reading.
As of now AMC has made a deep retracement to the 7.86 FIb level. This level is a healthy long-term retracement. We have now confirmed a doubble bottom at this level. The VIX-Fix on the 4h chart indicates that we are at or near a bottom. Bullish Divergence is visible on the MFI which leads me to believe that AMC will have a retest of the 18$ level. The level of 18-20$ are large levels of resistance confirmed by the VPVR and the selling volume once reached. We also have a red 8 on the TD-Sequential on the 4h chart. The significance of the TD-Sequential on the 4h chart can be displayed while looking at previous trading days. Once a red 8-9 appears it indicates a bottom. The volume is also starting to pick up which is a good sign of reversal. For AMC to remain bullish we need to see a 4h close above 16.73 confirmed with good volume. We have to establish strong support at the 16$ level beacuse it is a large VPVR node. The EMA Ribbons are used as resistance at the 17-20$ level. When these are established as support AMC will look amazing.
AMC also has earnings in 5 days. This could get the stock price to increase significantly. The earnings are estimated to be positive which could be really bullish for AMC. If AMC beats earnings and the S&P 500 + other indices rise AMC will follow really well.
Looking at the options chain AMC will most likely be trading around 15.50-20$ this week. The most open interest is located at 20$ which is a good sign. Lower price targets are not in the cards for AMC by looking at the options chain. Most likely the week will close at or well above 16$.
*WARNING* This thread is not financial advice. I am not a financial advisor.
Thank you for reading.
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