Cellnex: for historic highs to close the year
Cellnex reached the next target by extending its advance and touching in a testimonial way the level of 42,00€. After setting these new historical highs has made a consolidation that has led to the previous highs around € 36.00, but remaining at weekly closing levels around € 38.00.
It would now be bouncing off this support range to look for the €40.00 which, if it consistently and intentionally exceeds, should allow it, with Trump’s permission, to attack the annual highs before year-end and activate a possible boost to the next €44.00 target. The news of the acquisition of new communications towers from Orange keeps the company in the spotlight in a positive and strategically positioned way for the development of the 5G network.
Cellnex continued to scale positions, completing the target of the continuation pattern with which it reached new historical highs in weekly closing above €36.00. It validated the continuation structure that it presented in the consolidation that it made when it reached 32.00€ and that left it with support in the zone of 30.00€ a theoretical objective until the next level that we placed in the 40.00€ that has to surpass with this a new advance, with options to continue extending the increase until doubling the channel of advance in the zone of 44.00€.
If we take into account that, in addition, the value also exceeded the ceiling of the original advance channel that was projected over 29.00 € leaving a dilation of the same more than considerable. And this with a slope that is difficult to maintain and that after testing these levels exceeded before being able to continue with the trajectory of progress has developed this pattern of continuation to be able to continue with the advance if it ends up being confirmed. To do so, it must remain above €38.00 and so will continue with the options of this continuation pattern.
If you don’t confirm it, and you give back the 38.00€ threatens to re-enter the channel by giving back the 34.00€ that you would confirm if you give back the 32.00€ and go beyond the 30.00€ you can look for support around the 26.00€ that modifies the positive bias within the same channel. Below this level the most likely option would be to stay in a lateral scenario that could have a wide range where support levels would be staggered between € 24.00 and € 20.00 with negative bias zone. And above this level to 32.00 €-30.00 € resistances and levels of positive bias within it.
The scenario that maintains progress is impeccable for now for the year with an impressive result. After the positive start of this year definitely achieved consolidation above the important resistance zone which was € 22.00 and could pass at the end of last year, but without achieving its consolidation with the fateful month of December that in an abnormal seasonality caused sharp declines in equity markets. And not without having a new visit with weekly lows at € 20.00 again looking for a testimonial support in the current advance guideline.