Siemens (SIE Stock) bullish bounce after bearish ABC pattern completed


  • The overall uptrend, however, remains valid. The bounce at the 38.2% Fibonacci level suggests an Elliott Wave 4 pattern.

  • The current ABC pullback (orange) has probably completed a wave 4 (grey) at the 38.2% Fibonacci retracement level.

  • On the 4 hour chart, Siemens seems to have completed the 5 wave pattern in the wave C. A 5 wave leading diagonal seems to be unfolding in wave 1.

The Siemens (SIE) stock price made a bearish pullback after failing to break the top. Price action made an ABC pattern rather than full uptrend as our previous analysis expected.

SIE

Price charts and technical analysis

Siemens seems to have completed a bullish 5 waves (orange) in a wave 3 (grey) momentum:

  1. The current ABC pullback (orange) has probably completed a wave 4 (grey) at the 38.2% Fibonacci retracement level.

  2. The retracement in wave 4 is now a simple correction but it could expand into a longer ABC pattern as well.

  3. A bullish breakout (green arrows) above the 21 ema zone could indicate a retest of the previous top. A bearish breakout (orange arrows) below the support trend line (green) could indicate a retest of the bottom or 38.2% Fibonacci level.

  4. A bullish bounce is expected at the Fib level (blue arrows).

  5. Only a deeper retracement below the 50% Fib places this wave outlook on hold (orange circle) or invalidates it (red circle).

On the 4 hour chart, Siemens seems to have completed the 5 wave pattern (green) in the wave C (orange):

  1. A 5 wave leading diagonal (green) seems to be unfolding in wave 1 (orange).

  2. A bearish ABC pattern could develop in wave 2 (orange).

  3. The wave 2 is expected to bounce (blue arrows) at the Fibonacci levels.

  4. A break below (dotted orange arrows) the 100% Fibonacci level indicates (red circle) one more lower low. It invalidates the wave 1-2 (orange) pattern.

  5. But a bullish bounce is still expected at the Fibonacci levels around $140 (dotted blue arrow).

  6. A bullish breakout (green arrows) before the pullback occurs indicate an immediate uptrend.

SIE


The analysis has been done with the ecs.SWAT method and ebook.

Elite CurrenSea Training Program(s) should not be treated as a recommendation or a suggestion to buy or sell any security or the suitability of any investment strategy for Student. The purchase, sale, or advice regarding any security, other financial instrument or system can only be performed by a licensed Industry representative; such as, but not limited to a Broker/Dealer, Introducing Broker, FCM and/or Registered Investment Advisor. Neither Elite CurrenSea nor its representatives are licensed to make such advisements. Electronic active trading (trading) may put your capital at risk, hence all trading decisions are made at your own risk. Furthermore, trading may also involve a high volume & frequency of trading activity. Each trade generates a commission and the total daily commission on such a high volume of trading can be considerable. Trading accounts should be considered speculative in nature with the objective being to generate short-term profits. This activity may result in the loss of more than 100% of an investment, which is the sole responsibility of the client. Any trader should realise the operation of a margin account under various market conditions and review his or her investment objectives, financial resources and risk tolerances to determine whether margin trading is appropriate for them. The increased leverage which margin provides may heighten risk substantially, including the risk of loss in excess of 100% of an investment.

Feed news

GME stock positioned for another short squeeze

Get the full analysis and chart in our Insights. Upgrade to Premium today    

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD loses 1.21 as the dollar extends its gains

EUR/USD has dipped below 1.21, some 70 pips down on the day as the dollar recovers alongside Treasury yields. US Consumer Sentiment beat estimates with 86.4 points. 

EUR/USD News

GBP/USD retreats amid UK GDP miss, reopening concerns

GBP/USD is hovering around 1.4150, down on the day. UK GDP missed with 2.3% in April and a four-week delay to Britain's reopening is speculated. The greenback is gaining some ground.

GBP/USD News

XAU/USD drops back below $1900, as US dollar rebounds ahead of data

Gold price has retraced below the $1900 mark once again, having tested Tuesday’s high near $1903. The latest leg down in gold price comes on the back of a tepid bounce staged by the US dollar, as the Treasury yields trim losses across the curve.

Gold News

Ethereum price prepares for a bullish weekend, targeting $3,000

Ethereum price seems prime to revisit $3,000. Although ETH faces resistance at $2,300, the upswing seems imminent. A downswing below $2,000 could invalidate the bullish thesis. 

Read more

Hot Inflation is warming the seat for the June FOMC

Americans are seeing the fastest price increases since their seventh-graders were born as inflation builds into the US economy from the disruptions of the pandemic lockdowns. Core CPI at 3.8% is the steepest gain in 29 years.

Read more

Forex MAJORS

Cryptocurrencies

Signatures