BULL SharkEarnings beat and looks to have been received well.
Price however remains under the 50 day simple moving average. It will be a definite improvement if price can get above that critical moving average. The 100 crossed down through the 200 recently which is a bearish crossover. Moving averages change just like any other indicator. The RSI may be pointing up today and down tomorrow! I try not to get too hung up on how bad the averages look if I feel I have a reason to buy the security. The market conveys that reason if you keep your eyes and ears open *not so much your ears(o: Sometimes it is best not to listen to negativity or positivity from analysts. Analysts are a lagging indicator. If they are dogging a stock or security, it can pay to take a closer look. The chart is "right now" and is an Xray of supply and demand. Death cross marked with orange x and is defined by many as the 50 crossing down through the 200.
I miscalculated this as an ABC bullish pattern earlier on a post. My bad )o:
The swing points in the bullish shark pattern are marked with 0, X, A, B, C. It is similar to a Cypher pattern as in both patterns peak 2 is higher than peak 1. The Cypher is labeled XABCD. The Cypher in theory lands (PRZ, potential reversal zone) at the .786 of XC/NOT XA like many other harmonic patterns. The shark lands between the .886 and the 1.13 fib levels of OX. . It is not unusual for price to be volatile at the point of reversal, or the landing pad. It is not unusual to have price go a little below this zone as well. If it goes below the zone by too much, the pattern is invalidated.
Too be honest, I think harmonic patterns can be very subjective as the fib levels will fall where you decide to put X, or O in the case of the shark. I, personally, can not tell most of the time if it is a shark or a cypher until it lands and a bottom is formed there. Even then things change. There are no super strict rules for the 2nd leg, or retracement of the initial leg (OX, XA) for either of these patterns. For example, the Gartley will pull to the .618 on the AB leg or close or is is not a bullish Gartley, not for me anyway. With many harmonic patterns you can begin deciphering it at the 1st retracement. There are also bearish versions of harmonic patterns and is like you have to flip the pattern upside down.
The shark is considered a reversal pattern and causes price exhaustion. I guess PENN just got tired of going down! LOL I know I got tired of it because like an idiot, I bought this too high. Until price gets over the 50, this could be touch and go but definitely a good start
No recommendation. There was also a bullish divergence on RSI. Many use the valleys of the oscillator (in this case I used RSI) to find bullish divergence and the peaks to find bearish divergence.
From the ashes we can live another day (o: