We caught some of these moves in real time, some we missed. Essentially it took longer than we expected for the pattern to develop.
Looking at the short-term chart on the right, there is a very clear, near perfect, a-b-c move upward into a perfect double top. This is a 3-wave structure and therefore corrective in nature. For that to be so there has to be a bigger wave A down in front of it. There is if you put the top at the very first top AND view the first a-b-c as one single structure, wave A. If correct we are presently in wave C which should unfold in a clearly subdividable 5-wave structure, similar to the first c of A. The whole thing should become a large “flat”.
As a minimum we would look at the level of the 4th wave of previous degree and then the 62% retracement which is at about $33. That is not a great stretch considering the company is very much exposed to China for both its product manufacturing and sales, is trading at wishful p/e of 33 and is seeing more and more competitors entering this space. A sell.