INTC is forming a symmetrical triangle, indicating a period of consolidation as the price action narrows into the triangle's apex. This pattern suggests indecision in the market, with the potential for a significant breakout in either direction. The resolution of this triangle is likely to set the tone for the next move, however I have taken a bullish position. The price action is nearing the triangle’s apex, suggesting a breakout is likely within the next 3–5 trading sessions.
Watch for a volume spike to confirm the direction of the breakout. For a bullish breakout, take partial profits at $25.50, then hold for the full target of $25.89 to 28.00.
Entry Strategy:
Enter a long position if the price breaks and closes above $24.54 with strong volume.
This would indicate a bullish continuation, with the price likely to target higher resistance levels.
Profit Target Calculation:
Triangle Height:
Measured from $24.54 (upper resistance) to $23.19 (lower support), giving a height of $1.35.
Breakout Target:
Bullish Target: Add $1.35 to the breakout point ($24.54) → $25.89.
Bearish Target: Subtract $1.35 from the breakdown point ($23.66) → $22.31.
Stop-Loss Placement:
For a bullish breakout, place a stop-loss below the lower trendline at $24.19.
For a bearish breakdown, place a stop-loss above the upper trendline at $24.54.
I have already taken a position for 11/22/24 25C @0.28