Amentum Holdings – Rounded Bottom Pattern in Progress📊 ** Current Overview **
* The stock is trading at **\ $19.40 **, showing a daily drop of ** 6.10% **.
* A ** rounded bottom (cup-shaped) ** pattern is forming, often associated with a **bullish reversal**.
* The recent price action mirrors the earlier ** mini-breakout ** structure, suggesting a repeat pattern may be underway.
---
🔍 ** Chart Patterns & Indicators **
🔷 ** Head and Shoulders **
* The blue reverse head and shoulders setup is forming with right shoulder.
* This formation is usually broken with the same size of head (+43.96%) .
* A similar move from the breakout level would target the ** \$26–27 range **, representing a ** 30%+ gain **.
* If momentum continues, **\$30** is a realistic extension target.
🟥 ** Rounded Bottom Formation **
* After the head and shoulders formation, the next is Cup and Handle that is very typical formation in small cap or new stocks in the market.
* The ** curved red line ** illustrates a classic ** rounded bottom **, typically a ** bullish pattern ** that signals trend reversal.
* Price behavior suggests the stock is gradually shifting from a downtrend into a consolidation phase.
* It is early to talk about the target of this formation, but typically it is around ** \$53 **
📉 ** Falling Wedge **
* The ** dotted descending trendlines ** frame a ** falling wedge **, another **bullish reversal** signal.
* A breakout above this wedge could confirm the start of a new uptrend.
🟣 ** MACD (Momentum Indicator) **
* The MACD has recently ** crossed downward **, indicating short-term weakness.
* However, previous MACD behavior suggests possible ** bullish divergence ** if the price forms a higher low.
---
🎯 ** Key Takeaways & Strategy **
* Amentum may be forming a ** head and shoulders breakout pattern ** inside a larger **rounded bottom**.
* If the price ** finds support above \$18–19 ** and bounces, a move toward **\ $26–30 ** is technically plausible.
* Watch for ** MACD confirmation ** and ** volume spikes ** to support any bullish breakout.
