First, in the 1h chart, we still have a key point at the green line, around $ 11.52, which is the same key point we mentioned in our last study (link to my previous analysis below). And we have the red line at $ 8.95.
Probably AMC will keep trading sideways for some time, but we have two scenarios to work with if we see a breakout from these lines:
Since we have a congestion, it can break in any direction. But we have some targets to work with in whatever direction it breaks.
By defeating the green line, the next stop will be the blue line at $ 14.54, then the last target would be the $ 20.36.
We have a Bullish Engulfing, that almost reversed the trend, but I wasn’t convinced by it, and the reasons are in our last AMC analysis. All I can say right now is if it loses this pattern’s low, meaning, the $ 8.95, then the $ 5.22 is the next target for the stock.
The is too low, but if AMC reacts near the support at $ 8.95 it could trigger another buy sign, as the R/R ratio would be very good.
Either way, let’s be prepared, and if you liked this post, remember to follow me to keep in touch with my daily studies, and please, support this idea with your like!
Thank you very much!