Ammo Inc Potential Triple BottomAmmo Inc is testing the 200sma after recently forming a potential triple bottom pattern. A move above the 200sma would likely lead to a test of the upper resistance line near $2.60. Should price beat the upper resistance line with a close and open above that $2.60 level, our projected upper target is near $3.60 based on the $1 measured move from the valley of the triple bottom to the highest peak(resistance line).
The lower PPO indicator show the green RSI line currently below the purple signal line which indicates short-term bearish momentum. Both lines are currently above the 0 level which indicates intermediate to long-term bullish momentum. What we want to see going forward is the green PPO line to cross back above the purple signal line to indicate a return to short-term bullish momentum.
The lower TDI indicator shows the green RSI line above it's purple signal line which indicates a short-term bullish price trend. The RSI line is also attempting to cross back above the 60 level and into the upper half of the Bollinger Bands which would indicate an increasing bullish short-term trend. Going forward we want to see the green RSI line continue to trend between the 40-60 levels which would indicate an intermediate to long-term bullish trend.
My buy price is $2.21.
My stop-loss(SL) is at $2.00.
Max loss on this trade is roughly -10%.
Potential gain is +62%.
