Bearish Divergence detected on the longer term perspective of RedHat.
A top is put in place.
How will the prices go from here ?
3 Stops, $40, $35 and $30
1st Stop is to fill a Gap left by the earlier jump from $40 to $45.
Lets see if it will jump back down.
As Moving averages is still very much firmly trending up. Dont expect any
break of the trend.
However the volatility within the Trend could make for some interesting play.
Slowly work the prices down.
Weekly chart.
A top put in place at $48.
which is an earlier peak.
Double Top ?? Most probably.
Prices has traced a a-b-c corrective wave down from earlier peak.
and make sort of a 5 wave to what is labeled "Y"
Alternatively Prices could go sideways from here in a trading range.
DAILY CHART
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Daily Chart is where the battle is fought.
Prices has closed out of the box with high volume.
Good sign the bear is winning and in control.
Question will the bear chicken out of the huge void between him now and $40
or will he make a bear leap for it.
Looks like there isnt anything much stopping him now to do it.
The weight of the market his own body weight is behind him and gravity is on his side.
Even it is below all 3 weekly Moving avearges.
Go Bear Go !
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