To The Moon

As someone who’s always scanning for technical setups and key price action, both $U.S. Steel(X)$ and $Amazon.com(AMZN)$ have caught my attention recently. Each stock is showing some interesting chart patterns that could lead to strong moves in the near future. Here’s what I’m seeing in both names and why they’re worth adding to your watchlist.

$X: United States Steel Corporation — Ascending Triangle Setup

X Daily Chart

United States Steel ($X) has been forming a classic ascending triangle pattern, which is typically a bullish formation. An ascending triangle occurs when the stock forms a series of higher lows while facing resistance at a horizontal price level. In this case, $X has been respecting an upper resistance level, and the increasing demand seen through higher lows suggests buyers are gaining strength.

The Ascending Triangle Pattern

From a technical perspective, a breakout from this pattern would be significant. If $X can break above the resistance level near the $38-39 range, I’m looking for a potential move towards the $41-$42 range. This target comes from the previous resistance level.

The ascending triangle breakout tends to be a strong continuation pattern, but I’d be mindful of volume confirmation. A breakout without volume can be a false signal. If we see the breakout occur on above-average volume, I’d consider this a strong buy signal. On the flip side, if $X fails to break out and falls below the ascending trendline, it could indicate a failed pattern and potential bearish reversal.

Key Levels to Watch for $X:

• Resistance: $39 (breakout level)

• Target Range: $41-$42

• Support: $37 (trendline support)

I’ve got my eye on this one for a potential swing trade if we get that breakout confirmation.

$AMZN: Amazon — Uptrend Line as Support

AMZN Daily Chart

Amazon ($AMZN) has been following a well-established uptrend line for several months, acting as a solid support level for the stock’s upward momentum. The stock has been bouncing off this trendline repeatedly, signaling that buyers are stepping in every time it dips. This kind of price action is typically indicative of a strong uptrend.

I’m particularly watching the key resistance level at $190.75. A breakout above this price could lead to a continuation of the upward trend, with plenty of room for upside. Amazon’s stock has strong momentum, and breaking through this level could propel it towards new highs, especially if the broader market remains bullish.

However, it’s worth noting that while the uptrend line has been acting as reliable support, a break below this line would be a clear bearish signal. If $AMZN drops below this uptrend line with strong selling pressure, it could indicate a short-term bearish trend and lead to a correction. In that scenario, I would look for downside targets around the $175-$180 range as potential levels where buyers might step in again.

Key Levels to Watch for $AMZN:

• Resistance: $190.75 (breakout level)

• Support (Uptrend Line): $187-$188 range

• Bearish Breakdown Target: $180-$181 (if uptrend line fails)

What’s My Plan? For $X, I’m waiting for that ascending triangle breakout before taking a long position, with an eye on volume confirmation. For $AMZN, I’m closely monitoring the $190.75 level for a potential breakout and will watch how the stock reacts to its uptrend line in the event of a pullback.

These setups have potential for both short-term traders and those looking for swing trades. Both names are displaying technical patterns that can lead to significant moves if the right conditions are met. Keep them on your radar as possible trades to capitalize on in the coming days or weeks.

As always, these are just my thoughts and not financial advice. It's important to do your own due diligence and ensure the setups fit your trading strategy before pulling the trigger.

Happy trading!

@MillionaireTiger @Tiger_comments @Daily_Discussion @CaptainTiger @TigerSG

Disclaimer: This is a general analysis and not financial advice. Always conduct your own research before making any investment decisions.