LAC - Technicals Suggest Imminent Double Breakout

7 Feb 2022

Price is in a descending channel on 15M charts, a channel which will likely resolve upwards. A double bottom (from a shorter term perspective) has also been formed, suggesting that price will continue to appreciate up till $27.50. On the 4H charts, price has been stuck in a falling wedge for several months and is currently close to breaking out of that huge consolidation as well. Look to enter long on the break of the resistance of this channel (around $26.50) and use a tight trailing stop to limit losses. Trim at $27.50; if we break past $29 (a level of strong resistance) and out of the long-term falling wedge, we could see a more significant appreciation in price. PT#2 is at $41.50 where strong resistance has previously come in.