The analyst identifies a Wave 2 support level on $DCTH and expects a strong Wave 3 move up to $34, indicating a bullish stance.
Wave 1 completed in 5 waves, Wave 2 pulled back in 3 waves holding support at 0.618 Fib and above 200 WMA, price bounced with higher highs and lows, recaptured 0.5 Fib and 50 WMA, continuing higher above all moving averages, with little resistance to $34 target.
$DCTH Everyone wants to know how to identify a Wave 2 support level, this is the sweet spot, this is where everyone wants to buy....you will then catch Wave 3, the strongest move in any bullish trend $DCTH has the perfect Wave 2 support. - Wave 1 completed in 5 waves = standard - Wave 2 pulled back in 3 waves (ABC)=standard - Wave 2 held support on the 0.618 Fib=standard - Wave 2 held support above the 200 WMA - Price then bounced with higher highs and higher lows - Recaptured the 0.5 Fib and the 50 WMA - Continues to make higher highs above all MA's - Very little in the way above now to $34 to complete Wave 3. (price is at $12) Study this chart, when you have bullish setups like this You show conviction.
| Horizon | Raw move | vs SPY |
|---|---|---|
| 1 day | +0.1% | -1.6% |
| 1 week | +4.2% | +1.1% |
| 1 month | -7.7% | -9.1% |
| 3 months | — | — |
| 6 months | — | — |