diff --git a/00-Getting-Started/2021-06-30-Anatomy-of-Parabolic-Movement.md b/00-Getting-Started/2021-06-30-Anatomy-of-Parabolic-Movement.md new file mode 100644 index 0000000..481f924 --- /dev/null +++ b/00-Getting-Started/2021-06-30-Anatomy-of-Parabolic-Movement.md @@ -0,0 +1,64 @@ +Anatomy of parabolic moves and how GME is heading to 1000$ a share. +=================================================================== + +| Author | Source | +| :-------------: |:-------------:| +| [u/eoneqeip](https://www.reddit.com/user/eoneqeip/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/oaqqry/anatomy_of_parabolic_moves_and_how_gme_is_heading/) | + +--- + +[Education šŸ‘Øā€šŸ« | Data šŸ”¢](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22Education%20%F0%9F%91%A8%E2%80%8D%F0%9F%8F%AB%20%7C%20Data%20%F0%9F%94%A2%22&restrict_sr=1) + +Good day apesĀ ~~and apettes~~Ā (thanksĀ [u/kibblepigeon](https://www.reddit.com/u/kibblepigeon/)Ā for teaching me that "ape" is already a gender inclusive term), just wanted to jacque your tettitas a lil more if I can. + +Here's the dissection of a parabolic move on an x security, movement to 1 is parabolic but is also a little parabolic move inside a bigger parabolic move (5). What is interesting is price behaviour: after first big move up (1), usually there's a circa 50% retracement of that move (2) then sellers come back until price close above 2 (3), then at (4) the last small dip before (5) meaning the sellers capitulated. + +Small dip move from (3) to (4) is KEY because here happens the shift of power from sellers, which were in control of price since (1) finished, to buyers. + +Move (5) as now went to about 3X the price of move (1). + +[![r/Superstonk - Anatomy of parabolic moves and how GME is heading to 1000$ a share.](https://preview.redd.it/95jyxija8c871.jpg?width=1035&format=pjpg&auto=webp&s=870ec16616f570db7a4b9868e549539569919d3c)](https://preview.redd.it/95jyxija8c871.jpg?width=1035&format=pjpg&auto=webp&s=870ec16616f570db7a4b9868e549539569919d3c) + +a common graph of a common parabolic move + +Now let's get straight to the jacque part of my kindergarten analysis + +[![r/Superstonk - Anatomy of parabolic moves and how GME is heading to 1000$ a share.](https://preview.redd.it/snfq6cue8c871.jpg?width=1035&format=pjpg&auto=webp&s=12b0f550b2f3d169e548710ea24135c74ad4719a)](https://preview.redd.it/snfq6cue8c871.jpg?width=1035&format=pjpg&auto=webp&s=12b0f550b2f3d169e548710ea24135c74ad4719a) + +a graph of a well known idiosyncratic stock + +To me the situation seem pretty darn parabolic and I see the same behaviour described above... + +Only differences are related to time scales (first case was weekly, second was daily) and move 1 retracement (2) which in 1st case was 50% while on GME is >50% (meaning buying was more aggressive in this case). + +I don't want to hype dates or anything but I think we are in (4) now, that small but very important dip where power shift happens and up up up the parabolic flight begins. + +So buckle up and enjoy the flight. + +EDIT1: more evidence of this pattern in a fairly known movie theaters stock which recently exihibited a parabolic move (here as well as now price in (5) has tripled maximum price of move (1)). + +[![r/Superstonk - Anatomy of parabolic moves and how GME is heading to 1000$ a share.](https://preview.redd.it/nxqb21ej8c871.jpg?width=1034&format=pjpg&auto=webp&s=6d59e58c01981a10312b3c3361ad1724241a5220)](https://preview.redd.it/nxqb21ej8c871.jpg?width=1034&format=pjpg&auto=webp&s=6d59e58c01981a10312b3c3361ad1724241a5220) + +EDIT2: another one, this is interesting because move (5) almost 3X move (1) but had a more bumpy development (lower timeframe here with more noise maybe?) + +[![r/Superstonk - Anatomy of parabolic moves and how GME is heading to 1000$ a share.](https://preview.redd.it/8w3i4a5m8c871.jpg?width=1037&format=pjpg&auto=webp&s=215999c3c075d3417c64dba5ab72e06906c964cf)](https://preview.redd.it/8w3i4a5m8c871.jpg?width=1037&format=pjpg&auto=webp&s=215999c3c075d3417c64dba5ab72e06906c964cf) + +EDIT3: another one in which move (5) max price triples parabolic move (1) max price. + +[![r/Superstonk - Anatomy of parabolic moves and how GME is heading to 1000$ a share.](https://preview.redd.it/dnw5eg2p8c871.jpg?width=1039&format=pjpg&auto=webp&s=d311db539deca12a117e584c0ea8d766bd649385)](https://preview.redd.it/dnw5eg2p8c871.jpg?width=1039&format=pjpg&auto=webp&s=d311db539deca12a117e584c0ea8d766bd649385) + +EDIT4: a famous e-commerce giant which GME is going to replace, here move 5 did 33X the max price of move 1 (obviously fundamentals here helped) + +[![r/Superstonk - Anatomy of parabolic moves and how GME is heading to 1000$ a share.](https://preview.redd.it/hcp8j0ur8c871.jpg?width=1040&format=pjpg&auto=webp&s=fe3b05a176aeedff20023e0a3d93b3dcf8e7b377)](https://preview.redd.it/hcp8j0ur8c871.jpg?width=1040&format=pjpg&auto=webp&s=fe3b05a176aeedff20023e0a3d93b3dcf8e7b377) + +EDIT5: another big weekly case on a big tech, from max price of 1 (37$) to price to date in 5 (799$) it 23X. Notice how sometimes these parabolic moves requires years (move 5 started in the end of 2012). + +[![r/Superstonk - Anatomy of parabolic moves and how GME is heading to 1000$ a share.](https://preview.redd.it/sr4lt1su8c871.jpg?width=1037&format=pjpg&auto=webp&s=a1edf81b6795e1d8b4ec5248f294fffe3f31c667)](https://preview.redd.it/sr4lt1su8c871.jpg?width=1037&format=pjpg&auto=webp&s=a1edf81b6795e1d8b4ec5248f294fffe3f31c667) + +Based on these examples I think we are set on GME for a move 5 which will at least triple the max price of move 1 of january (345x3=1035$), notice I'm using the price of line graph and not candlestick price of january pick (482,55$), this doesn't mean GME won't go past 1000$, we saw before that withĀ strong fundamentalsĀ andĀ timeĀ move 5 can easily go 20X and beyond move 1. + +I don't know about other securities but GME is a unique case for short interest and for retail interest in it so it is very possible that it will set an unprecendent, idiosynchratic, to the moon move 5. + +Prepare to see your most liked stockĀ at least at 1000$, I'm preparing for this and zenfully reminding myself that at 1k we still trading sideways. I just want you to be prepared as well for what is coming (I predict future fud at 1k stating HF have covered and so on...(yeah like they covered in january! - we own the float x times bitch! - when in doubt bath yourself with the DDs)). + +Buckle up.