Hi All
Been a fair while since i posted a chart of BRN, its been on a pretty dismal bearish trajectory for the most part of this year, so saw no real point in posting the obvious and putting the boot in, but now i see some glimmer of hope for the poor suffering longs ....
From a EW perspective, its following a classical path.
After reaching the low of 14.66 on the 10/6/23, both RSI and MACD turned bullish with some nice above average volume bars to create sub wave 1 up to 21c, then the corresponding sub wave 2 down movement played out thereafter (14.6 - 21c is a 50% profit for those players who picked the bottom , so was inevitable ) which concluded on the 31/10/23
From the 31/10/23 to 8/11/23, we saw both indicators turn bullish again with subsequent above average volume bars to create sub wave 3 up which hit the 1.618 fib target 24.55 ( a typical target for a wave 3 up movement ), you will notice also that on the 8/11/23 RSI 14 hit oversold 70, thus activating sub wave 4 down, which typically reverses around the 38 fib support or around the height of sub wave 1 up .....which it is where the SP is right now.
So the question now remains, will the current SP be the pivot for sub wave 5 up action, which potentially could hit 35.25 which coincides with a fairly strong resistance line ?
What FA could drive that action ?
Or could the positive sentiment on the NASDAQ be the catalyst ?
Coincidently, nasdaq chart displaying classic EW too, with sub wave 4 down hitting the 38 fib ( 12692 ) support before acting as the pivot for early stage sub wave 5 up,as mentioned prior, historically this is mainly the case for sub wave 4 down.
So, could we say that BRN is following the footpath of nasdaq ?
If so, then it shouldnt be too long before BRN SP activates sub wave 5 up too........
Of course, for BRN to sustain a more bullish path in the long term , then VOLUME of sales needs to pick up dramatically, but for now, BRN looks bullish for the short term at least.
imo