Good day apes and apettes (thanks u/kibblepigeon 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).
a common graph of a common parabolic move
Now let’s get straight to the jacque part of my kindergarten analysis
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)).
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?)
EDIT3: another one in which move (5) max price triples parabolic move (1) max price.
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)
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).
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 (345×3=1035$), Note I’m using the price of line graph and not candlestick price of janueary pick (482,55$), this doesn’t mean GME won’t go past 1000$, we saw before that with strong fundamentals and time move 5 can easily go 20X and beyond move 1.
I don’t know about other securities but GME is a unique case for short interest and for retail interest in it so it is very possible that it will set an unprecendent, idiosynchratic, to the moon move 5.
Prepare to see your most liked stock at least at 1000$, 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.