Rheinmetall has entered our first Fibonacci retracement zone.
In our previous analysis, we defined two Fibonacci retracement zones. Rheinmetall is currently in a long-term corrective phase and is forming orange wave A — the first leg of the overall correction.
For this orange wave A, we established a Fibonacci retracement zone where we expect the market to regain bullish momentum in the short term and initiate a recovery phase within orange wave B. The second Fibonacci retracement zone is intended for the completion of the entire correction, specifically orange wave C — the final leg of this corrective structure.
Rheinmetall has now entered our first Fibonacci retracement zone, which is defined as:
- 38.2% at $1,244.80
- 50% at $1,009.40
Within this zone, we expect the market to end its current bearish movement and regain bullish momentum in the short term, forming orange wave B. From our perspective, this zone represents a strong opportunity for a short-term long trade, aiming to capture the move of orange wave B, before the market reenters bearish momentum for orange wave c.
Once orange wave A is confirmed as completed, we will define a Fibonacci selling zone where we expect orange wave B to terminate.
If any structural changes occur, or if this activated Fibonacci retracement zone is validated, we will update you immediately.
Kind regards,
Monalytics
