Break above 8 month resistance

Jan 23

This Green trend line has been AMC's resistance since the May run-up of last year.

Right now, the price action is bouncing between it and the Red support line.

With the 4th anniversary of the first sneeze coming up, the BOJ rumored to increase interest rates to the highest level in 17 years on Friday morning, and the first FOMC meeting of the year and new Presidency being next Wednesday, I think the perfect storm is brewing for hedge funds to have to close their short positions.

If we close the week above 3.50/above the green resistance line, I am expecting volatility to the upside.

Also important to remember that at 5.66, AMC can clear $400M worth of debt, which would bring the company closer to $3.5B.

Compared to the high of $5.88B in debt it had at the end of September 2020, that is great progress.

Let's see what happens in the next couple days/week.

Jan 31

Trade active

So close to breaking out.

A close above 3.21 today (Friday) would have me extremely excited for Monday and next week overall.

RSI is below 30 (oversold) on all time frames except the monthly.

We're due for a breakout.

Feb 2

Trade closed: target reached

I don't think this could be any more obvious that this is a significant resistance line.

RSI is being compressed lower and lower.

It's just a matter of time.

Right now I have the line at 3.20 for pre-market Monday and down to 2.93 by close on Friday

Feb 3

Note

Not sure why the trade was marked as closed.

Still open as long as we don't reach the trend line.

Feb 6

Note

So we seem to have popped over.

Potentially a retest today, but not convinced it's happened yet because the wick didn't quite touch the top side of the trend line on the way down.

Could expect the stock ending the week around the 3$ and a potential bounce up during after hours on Friday/pre-market on Monday.

Also keeping an eye on the daily 200EMA. One thing at a time though