Adidas, a German multinational company, is one of the world’s leading sportswear brands. Founded in 1949 by Adolf Dassler, it specializes in footwear, apparel, and accessories. Known for its iconic three-stripe design, Adidas combines innovative technology with fashion, catering to athletes and casual wearers, emphasizing performance and style.
Adidas H1 Chart Analysis, September 15, 2023
Is Adidas about to close the gap?
The company has been in a downward trend since the beginning of September, and the discount is currently approximately 8.5%. The price respects the Fibo levels quite well. A particularly important retracement here is the level of 0.382 (175), which has served as support many times and is now a resistance to the price. The wick of the red candle touching this retracement has created the so-called shooting star, which most often precedes declines. The long wick of this candle indicates a strong supply reaction, which pushes the price down.
Moreover, it should be noted that the price has exceeded the second standard deviation (marked on the upper blue Bollinger Band). The company’s valuation often returns to the median after such a move, marked with the orange line.
The short-term bear camp is also supported by the fact that the company has opened a gap, which traders tend to close at the end of the current or one of the future sessions. The price would now have to move 2% down to close the gap and return to the median. Confirmation of such a scenario should be sought at lower-minute intervals.
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