Gamestop (GME): How to Apply Technical Analysis to a "Crazy" Market
by Vadim Pokhlebkin
Updated: February 02, 2021
Enough has been said about the recent price action in GME, so instead of repeating what you already know, let us ask this important question: Was there any way to foresee GME's jump from $4 to $350?
In our Trader's Classroom, editor Jeffrey Kennedy teaches simple technical analysis techniques using real markets. But does any forecasting technique work in a "crazy" market like Gamestop?
The short answer is, yes. Watch Jeffrey show how technical analysis could have made your life easier in GME from the March 2020 lows all the way to today's $350 range.
Free, watch now.
Yes, even "crazy" markets follow a certain logic
That logic's name is "market psychology." It shifts from optimism to pessimism in predictable patterns, even in "crazy" markets like GME.
The reason why is simple: Whenever groups of humans are involved, collective psychology takes over. Elliott waves work by helping you track and forecast its shifts.
And when you combine the waves with technical analysis techniques taught by our Trader's Classroom, you get even more clarity.
See for yourself when you take Trader's Classroom for a spin today.
U.S. Treasury yields aren't the only ones that have been rising. Just like here in the U.S., you can find a lot of "fundamental" explanations for the moves in German bonds. But watch how an Elliott wave pattern warned of these developments as they were just starting.
If you've ever applied technical indicators to a price chart, you know the challenge -- namely, where do you even begin? Watch our Trader's Classroom editor walk you through a "blank chart" of GRPN to show you how to spot simple levels of support and resistance, for starters -- and get an idea as to what's next.
This time-tested indicator provided a warning before the historic 2007 stock market top, and here in 2021, investors should focus on this indicator again. Find out why.