#JKHY Bearish expanding flat with confirmationHey guys , NASDAQ:JKHY has formed a bearish expanding flat with lower degree trend continuation structure.
JKHY
JKHY - Curve Allowing PullbackThis is an ascending scallop and price is entering a small bearish phase of the scallop
I expect this to move down to a stronger trend line up and bounce off that line
Bars pattern shows my thoughts
Jack Henry & Associates adopts buyer of Google $GOOGLBuy side, buyers imbalances into end of day.
Long.
Friday likely big day.
JKHY – Reversal of Trend with 30% Shorting Opportunity?Fundamental Indicators:
Sector – Technology
US Business Cycle Stage – late cycle, when this sector is the least favourable
Revenue - consistently growing since for the last 10 years, average 5-year rate at 16%
Profits – 2022 TTM shows 13% increase compared to 2021
Net margin – a good level of margin with 18%
P/E – quite high at 42 compared to S&P500 with 21 and Technology sector 20
Liabilities - debt ratio is at 0.42 which is within normal limits, Net Debt/ EBITDA is at 0.29 – no problems with debt
Conclusion – still good financial performance but PE ratio is quite high, and correction is long overdue in the current market conditions
Technical Analysis (Elliott Waves):
Main scenario of this idea suggests that we are still observing development of the global growth cycle which is currently at the stage completing wave 3 of the final fifth wave (see higher timeframe graph)
The corrective wave that was formed since August 2020 can be clearly identified as Contracting Triangle which has culminated in January 2022 with wave E
Since then, we can see a very choppy bull run which is often a sign of an Ending Diagonal and in this case, it is an Expanding type where wave 1 is smaller than wave 3 and wave 3 is smaller than wave 5
This is a higher timeframe to reflect the full history of JKHY and to provide full wave count:
What do you think about JKHY and its short term prospects?
Also let me know if you would like to see other stocks, indices, Forex or Crypto analysed using Elliott Waves.
Thanks
JKHY ANALYSIS 10.08.2021Hello Traders, here is a full analysis for this asset. The entry will be taken only, if all rules of your trading plan are satisfied.
Therefore I suggest you keep this pair on your watchlist and see if all of your rules are satisfied.
Leave your thoughts in the comment section, I will reply to every single one of them.
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$JKHY - likely to see more weaknessNASDAQ:JKHY may experience more downside in short term. Stock looks relatively weak in 2019, and after reaching corrective waves retracement targets, may go much to ~110$.
Entry: below 135.4 (or current level for more aggressive and less reliable trade)
Stop: 144.38
Target: 110-120 (depending on how trade developes furhter)
