TWTR, UAA updates 06/28

TWTR: Counts best on the daily time frame as having completed minor-3 and minor-4 and now minor-5 is underway. The ideal 5=1 targets just shy of $50, but of course it can always extend. Note how price bounced nicely off the 223.60% extension, right where 4=2. All the technicals peaked early June, which is a sign of a 3rd of a 3rd wave peak-momentum and thus the daily chart may be one degree too high. The weekly chart next shows why.

TWTR daily

Using simple weekly candles, we can count the advance slightly different (but more cleanly) and since early-May there’s not been a red weekly candle until this week. This suggests the current decline was only minute-iii of minor-3 of intermediate-v of major-3. Honestly, I like this count better, as it fits with the peak momentum indicators, even on the weekly, but I would not get greedy and keep the ~$50 price target in mind. This could will mean there’s still a minor-4, 5 left before major-3 tops and that would then likely be around $52.5-$55. A $50 target for minor-3 still fits well here based on simple resistance.

TWTR Weekly


UAA: Similar setup as TWTR as it appears either minor-5 or possible minute-v is underway. Given price stalled within the ideal 138.2 to 161.8% targetzone for a 3rd wave and then retraced to the 100% extension suggests more strongly a minor-4 low instead of minute-iv was made on Monday. Assuming a simple 5=1 relationship we should see price hit the 200% fib extension (not shown) at $27.63. Note the 1.764x extension is at $26.20 thus we have a nice price target zone of $26-28.

UAA daily

When we assess the weekly chart, we see peak momentum at the recent high, which means we should see a higher price (Bulls don’t die at peak momentum). In addition, price held the breakout and is now forming a nice Bullish weekly candle so far. Lastly the simple symmetry breakout targets ~$26, which is nicely in line with the lower end of the projected $26-$28 targetzone based on Fib-extensions.

uaa weekly.png