GOGO-H&S Bottom, Bull pullback, Fib level; Buy only on bull bar!GOGO is forming the following bullish setups:
1) Head and shoulders bottom, but not yet completed
2) Pullback in a strong bull trend
3) Broke out of trendline, and breakout failed, thus pulling back perfectly to the trendline
4) Price is at a 50% retracement level from the $20 swing high
5) Bull channel and trend in progress
This looks like a good setup for a high 1 buy (bull bar closing above prior bar's high in a pullback of a bull trend). If the high 1 fails, look for high 2 ABC correction.
I would ONLY buy when the price exceeds the prior bar's high (high 1). If you're aggressive you could buy the right shoulder but it may fall lower.
The last pullback was an ABC correction so a high 1 may fail. The highest probability would come from a neckline breakout on a strong bull trend bar (hopefully with no upper tails).
We may see a flag/1-bar pullback at the neckline. The next resistance is reached at $20 (red line, prior swing high) which is great for profit taking.
If the price breaks through 20, expect a pullback. If the pullback fails and we move higher, the bull channel (pink) may be in place and will establish a nice resistance level.
Remember, I am ONLY long on a high 1/ high 2! No position today... watch the close!
UPDATE: I don't know why the channel is so high to the upside but it should be touching the trading range in june, july.
