Caterpillar Inc. Stock ($CAT) bounce is a Bull Trap. More Downside should take place soon.

Good day Traders and Investors. In today’s article, we will look at the past performance of Caterpillar Inc. ($CAT). In our last article we explained that the stock has reached the Blue Box area where a bounce can happen. This is how we saw it back in Sep 2022.

Caterpillar ($CAT) ElliottWave October 2022 View (Weekly):

Caterpillar Inc. Stock ($CAT) bounce is a Bull Trap. More Downside should take place soon.

Since Sep 2022 forecast, $CAT has managed to break below 07/11/2022 low in 3 swings at ((B)) with RSI divergence. It then found a bottom on 09.26.2022 and rallied impulsively. It is favoured to be correcting the cycle against May 2021 peak in an expanded flat structure and sellers should appear soon once the ((C)) has completed.

Flats are tricky and they tend to trap many traders into thinking that the reaction is impulsive which can give the impression that a new trend is unfolding. The only way to confirm that the Bottom is in on $CAT is for the stock to break the all time highs at $246.69.

We at Elliottwave forecast have developed a system to improve the reliability of the forecast and keep us ahead by using Market correlation, cycles, swing sequence, and distribution system and that system is telling us that $CAT is not done to the downside.


Disclaimer. No Investment Advice Provided.
Any opinions, discussions, reports, news, research, analysis, prices, as well as any other data presented on this website, is information on general financial markets, use it only in educational and entertainment purposes, and is not a recommendation on investment. Opinions, market data, recommendations, as well as any other information can be changed at any time without notice. Simple-invest.info is not responsible for any loss or loss, including, but not limited to, any profit loss due to directly or indirectly using such information or confidence.


Privacy of Site | © 2024 All rights reserved.

Need help? Contact us!