MLBL Elliott Wave: 4th Wave Triangle Reversal Setup ?

MLBL is forming a potential 4th wave triangle. A breakout above 418 favors the start of Wave 5, while a close below 332 invalidates the bullish view. An alternate count suggests the correction may still be ongoing.

Signal: bullish

Current Elliott Wave count: Wave 4th

• Preferred levels:
• Support: 332
• Resistance: 418
• Stop Loss: 332
• Invalidation: 332
• Breakout: 418

The Elliott Wave setup for MLBL appears promising, with the stock having consolidated for nearly 4 years after a sharp decline. This prolonged sideways pattern suggests that the price correction has already been completed, and the current movement can be viewed as a time correction, potentially unfolding as a 4th wave triangle. The likelihood of an (e) wave throw-over scenario is high, which could pave the way for an upward movement in the 5th wave, also characterized by a triangle throw-over, provided the current pattern remains valid. To validate this outlook, it's crucial to monitor the stock's price action closely. A close below 332 would invalidate the bullish scenario, necessitating a stop-loss (SL) to limit potential losses. Conversely, a breakout above 418 would confirm the bottom and support the bullish case. Alternatively, it's also possible that MLBL is undergoing a 2nd wave correction, with the current movement representing an x wave within a triangle formation under the 2nd wave. Therefore, it's essential to keep a close eye on the stock's price action to determine the most likely direction.