DoorDash (DASH)

DoorDash (DASH)

Max Oen

— 2 min read
DoorDash (DASH)
1 day

First the Correction, Then the Bull Run

Since its IPO on December 9, 2020, DoorDash formed a major market low on October 24, 2022, at $41.37. From this level, the stock initiated a strong impulsive rally, completing light-blue cycle, which builds up green wave 1 at a new all-time high of $285.50.

With the completion of green wave 1, DoorDash established a significant cycle high and entered a broader corrective phase, unfolding as corrective green wave 2. This correction is required to complete the first impulsive structure of the long-term green cycle.

We expect green wave 2 to develop as a three-wave corrective structure, consisting of orange waves A, B, and C. For this corrective phase, we have defined two Fibonacci retracement zones, which we consider highly attractive for accumulation and swing-trading opportunities.

DoorDash is currently trading within our first Fibonacci retracement zone, which ranges between:

  • 38.2% retracement: $192.29
  • 50.0% retracement: $163.52

Within this zone, we expect the market to complete orange wave A, followed by a short-term recovery forming orange wave B. If bullish momentum resumes within this area and orange wave B develops as expected, we anticipate a final corrective sell-off into orange wave C.

The projected termination of this correction is located in our second Fibonacci retracement zone, defined by the following levels:

  • 61.8% retracement: $134.51
  • 78.6% retracement: $93.49
  • 88.7% retracement: $68.82

Within this zone, we expect the entire bearish correction to conclude, marking the completion of orange wave C and green wave 2. Once this corrective phase is finalized, we anticipate DoorDash to regain strong bullish momentum and initiate a new long-term bull market.

From our perspective, both Fibonacci retracement zones represent prime areas for long-term accumulation, swing trading, and strategic positioning.

Should any structural changes occur, or if our Fibonacci retracement zones are validated or activated, we will provide an update immediately.

Kind regards,
Monalytics

DISCLAIMER: The content on this website, including charts, analyses, and recommendations, is for informational purposes only and does not constitute financial, investment, or professional advice. Trading and investing involve risk. You should consult a qualified financial advisor before making any investment decisions.

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