SQ: Square

Updated January 24, 2019

Either Primary IV bottomed or Primary II (“ALT” labels) could have bottomed. Either Elliott Wave count should however lead to more upside. Although the recent decline cut SQ’s share price in more than half, which suffices for a wave-II it only took less than 3 months, while the entire advance took 34 months. But price is IMHO more important than time, so technically there’s nothing wrong here with a wave-II low. Price is back above its 200d SMA, so that’s a good development, and the advance off the December low looks also impulsive. If correct, than a retrace to $62.5-57.5 would be an ideal buy level, with a stop at just below $50 or own comfort level.