Twitter (NYSE:TWTR) has Broken Out of Its Blue Megaphone and Navy Blue Flat-Bottomed Megaphone with a Target of the Red Flat-Bottomed Megaphone Neckline.
TWTR has broken out of two topping formations with a target of at least the neckline of the red flat-bottomed megaphone.
It could slice right through the red neckline for a crash to a new all-time low, or it could bounce off that neckline before a breakout to a new all-time low. Or it could put in a small fake breakout and reenter the formation for a trip back to the local high.
If TWTR recrosses the bottom of the navy blue flat-bottomed megaphone before reaching the red neckline, it will be forming a larger megaphone top (orange scenario).
Assuming TWTR gets through the red neckline at some point, we’ll know more about targets and likely bottoming formations when we’ve locked in the high before a breakout.