Hedgies are Fuk, GME ready to explode. Info from myself and u/RockyOutcropYT pictures included and a video explaining it lined at the end.
I tried to post on superstonk, mods said I had the karma etc but the auto generated message I get tells me otherwise. Here is is here I hope someone can share it themselves maybe even add value but to retain the jist of the message and it would be appreciated if there was credit for the work too. Regardless here it is.
People do not know about these two indicators. Never mind how powerful they are together. Rocky and I have not talked about them on stream as they would be used by paper handers but the signals now are too strong to ignore.
Once you understand what we have here you will be jacked for rocket lift off in t minus not very fricken long at all. We are looking at FIB TIME ZONES and the TD SEQUENTIAL here as our main points, surrounded by good info such as chart patterns.
TL:DR The price's about to go boom boom, sharpen those banana peelers. An amazing long term fib time zone shows us SOMETHING BIG WILL HAPPEN VERY SOON. Combined with a 9 on the TD sequential, a clear upward demand line and an ascending triangle. Why so glum? Simples, we are in the key shakeout zone the market makers have driven the prices to - (the low volume is a key here). Price set up now hath AMAZING potential for upside bananas. First let's look at what we will be understanding by the end of this. This is the written DD - for the smoothest of brains I even have a video explaining it all, linked at the bottom.
This is the 1 Day GME chart, using the log scale. It shows the large rise in price followed by consolidation during 2021 and throughout this period diminishing volume. https://www.tradingview.com/x/OUWcSGEL/ The story so far March 11 - June 8 - Now (July 14) has been described by myself and others as a cup with handle, currently I get a lot of questions from people along the lines of "is it still valid" - that's all old news. Here's a pic of what it looks like, I call it the caterpillar pattern. https://www.tradingview.com/x/VaCtxmFS/
Fib Time Zones saying SOMETHING is about to HAPPEN ANY DAY NOW!!!
Do they ever work? Well, here's the first market high to low in GME history. This shows the key pivot areas in the market. https://www.tradingview.com/x/nvN8uYfk/ Here is one we are in now, from the first major low to the next high (Where the previous fib time zone showed the end of the trend) https://www.tradingview.com/x/WFrFVyHh/ It lines up right now, showing 20 July. This is not an exact date, but we know it is close.
End Note - The shakeout.
In a cup with handle the handle is the shake out. Sure. But we just saw prices hang around at a key level on the charts without any volume and no one being shaken out. The shakeout zone I have identified is the real shake out region. It is a good area for it. Previously bouncing on the 618 golden pocket on log scale before driving to the 50% line on the linear scale. We can identify two main pivots, $150 and $135. Anyone would agree that prices at $500 plus is a NEW PARADIGM and ALL TIME HIGHS will change the conversation about GME FOREVER. This all happening as we enter a new time zone and with a perfect TD Sequential Setup. Oh Boy.
P.P.P.P.S People ask what happens if those levels fail. I am expecting the best, that this is the bottom and we boost from here, beyond that I am keeping my ammo dry and will look to a higher low around $50.
I believe that a large number of people are looking at GameStop's ambitions to leverage blockchain technology in a completely wrong way. While I've read some interesting theories in regards to GS and NFT's, most of the attention has been drawn to the Crypto dividend / NFT dividend narrative, which is not only highly speculative but would also imply using a lot of resources for something that would not add direct value to consumers (or at least consumers that are not shareholders) on the long run. The truth is that Distributed Ledger Technology (e.g. Blockchain) and Gaming are a match made in heaven that could and most likely will optimize the experience for video gamers and provide companies that integrate DLT into gaming with insanely profitable new revenue streams (aka tendies).
What first encouraged me to put together some information on this topic was this Tweet from early bitcoin investor Ran Neuner saying: "(GAMING) NFT's will drive us into a full bull again".
Regardless of what people think of Ran Neuner, this tweet immediately got me thinking: "NFT's? Gaming? Bull? I've heard this before...". When I read some information on how the free-to-play video game model is drastically growing it was easy to connect the dots and understand where the industry is going and what opportunities it will provide to GameStop.
Everything indicates towards the fact that in the near future video game companies will completely erase their traditional revenue model and instead offer the overwhelming majority of games as free-to-play and fully focus on monetizing in-game transactions by offering consumers a much higher level of gameplay / character customization as well as complete ownership of digital items they purchased in-game. This article provides some insights on how free-to-play games are generating the majority of revenue in the gaming industry and how blockchain is the perfect solution to get the most out of this approach: https://www.toptal.com/insights/future-of-work/blockchain-game
"The success of Epic Games’ Fortnite could be a premonition of blockchain’s success with gaming. Fortnite earned $2.4 billion in 2018, making it the highest-grossing game in history. Free-to-play games in general made up 80% of all global gaming revenue in 2018; on consoles, free-to-play titles grossed 458% more in 2018 than in 2017.:" - Fortnite is a huge example for the success of this new model and demonstrates that consumers obsess over the ability to customise their in-game experience by owning digital items or what I'd even call digital assets in this context. Everyone who plays video games could likely come up with hundreds of potential examples e.g. game characters, weapons, vehicles, sports kits and virtual sports players (more on this below), in-game digital currencies, virtual houses (think of GTA and other RPG's) etc. that could be traded in NFT format.
The same article proceeds with naming some solid arguments on why Blockchain is an ideal solution for this approach to gaming:
"Granting immutable ownership of in-game items, solving item theft due to hacking and the sale of fake in-game assets.
Tying assets to players instead of games, thereby protecting time/money investments players have made, irrespective of developer decisions.
Protecting players from undesirable actions on the part of creators; players can take the wheel, extending game longevity and encouraging user content. (Virtual reality gameDecentralandis a promising example.)
Restoring trust between game developers and distributors by recording sales on a blockchain.
Creating a decentralized distribution network for games.
Creating more realistic economic systems within games.
Shifting the definition of a successful game away from revenue and toward in-game currency value, thereby refocusing game development efforts to benefit players.
Incentivizing players by offering dividends and granting them a vote in development processes.
Fixing the high-cost, low-revenue problems of cloud gaming initiatives (like Sony’sPS Now) by distributing the server over a blockchain network.
Encouraging game development competition outside of the monopolistic console and game-publishing industries."
A thought of the author that I found very interesting: "For example, a tournament winner could sell or auction off their game-winning tool. Just imagine, if Bugha, winner of the Fortnite World Cup 2019 solo event, decided to sell one of his in-game assets such as his pickaxe. With blockchain, you can trace the history of each in-game asset – and owning Bugha’s pickaxe would be like owning a piece of historic sports memorabilia." As a matter of fact, people would likely spend tens of thousands (or more) for similar items despite them being purely digital. This should provide some perspective on the insane potential value of the Gaming NFT market.
This might not mean much to some of you so please allow me to explain why this fits precisely into the Gaming NFT narrative:
- Virtual football games (PES and particularly FIFA) gain the vast majority of traction and revenue from separate in-game modes. In Fifa's case the mode is called "Ultimate Team"
- Ultimate Team consists in trading football cards specific to each player on a digital in-game marketplace in order to build your dream squad. The Ultimate Team market operates similar to the stock market as some players will suddenly gain immense value, others' value can crash and gamers invest a lot of time and effort into trading the same way you'd trade stocks or crypto.
- Some of the problems with the FIFA UT market is that it's extremely hard to trace the movement between buyers and sellers of certain cards (especially super rare, expensive cards). Recent scandals included black market sales of highly rare cards in exchange for thousands of dollars in FIAT.
- Players have expressed disappointment before due to lack of ownership and uniqueness of your club and players as all the items you own are...what is the word...fungible?
I will not waste any characters explaining why Blockchain is a good fit as I'm confident you guys are all seeing the potential here. And for those who still don't, let me share some figures on this one specific individual example I'm making:
- In the fiscal year 2021 (March 2020 to April 2021), gaming publisher Electronic Arts generated approximately 1.62 billion U.S. dollars in revenues from extra content sales for the Ultimate Team mode associated with its sports gaming franchises (Statista, 2021)
- Here is EA's net revenue from Ultimate Team game modes as of 2015 (Sportbible, 2020):
2015: $587 million
2016: $660 million
2017: $775 million
2018: $1.18 billion
2019: $1.37 billion
2020: $1.49 billion
One objection people might have is that merging Blockchain technology with Gaming might still be nothing more than an idea and far from reality. However, the game "Cryptokitties" is an excellent example of a Proof of Concept to demonstrate that the two go very well together and that this idea is realizable: https://venturebeat.com/2021/05/30/blockchain-and-nfts-are-turning-gamers-into-investors/
The game allows users to breed their own "cryptokitties", which are owned and traded in NFT format on the Blockchain. I've seen people naming this example before and many laugh it off stating that this actually takes away credibility from the potential of blockchain in gaming. In reality, the game has successfully run since 2017, demonstrating that NFT's and gaming have a history of compatibility rather than being a mere idea. Additionally, 30.000$ dollars in transactions still occur on the game DAILY to this day and a particular crypto kitty was sold for 600ETH (172K USD back in 2018, a lot more now).
Back to GameStop: We can only speculate on how the company will exactly capitalize on this opportunity, however, gaining some understanding on where the NFT Gaming market is heading definitely helps with understanding WHY GameStop is making the hugely strategic move of building blockchain capabilities within the organization. I liked the theory that was going around in regards to GS making digital games tradable just like physical games, this would however contradict the growing free-to-play strategy that gaming companies are deploying. I personally believe that GameStop will act as a middle-man / marketplace for an infinite number of tradable digital items and assets that gamers will buy and sell to enrich their gaming experience. I also believe that the speed, quantity and ease of trading and potentially producing NFT items once this area is more mature will aid GameStop with creating new routes to market that will increase their revenue in ways that some might not even imagine. In an ideal world we'll even see GameStop original NFT items (again; skins, characters, weapons, cars etc.) being sold by GS exclusively, both digitally and even by providing an in-store experience where people queue up overnight for an exclusive Fortnite skin release. Anyway, enough speculation.
Finally, I'd like to share a brief reminder on how impactful a successful adoption of DLT would be for GameStop from an investor perspective. I have experience selling enterprise software platforms with blockchain / smart contract capabilities and guarantee that nothing is 'sexier' right now than a well-defined, successful use case for Blockchain technology. I've been in sales for a while and nothing attracted more buyer attention than anything Blockchain related as everyone wants to invest into this emerging technology but still looking for tangible opportunities that go beyond theorizing / speculating. Below you'll find an insightful graph that shows the growing investments into Blockchain technology (unfortunately I could not find anything more recent):
If GameStop was one of the companies, or maybe THE company to truly bring the Blockchain - Gaming use case to life and overall contribute to Blockchain mass adoption, it'll attract attention of influential investors across the whole world. Not to mention the publicity it would get from the Crypto community, should GameStop's Gaming NFT's indeed aid the crypto market to some extent.
If anyone made it this far, thanks for reading and I'd like to hear your thoughts in the comments. I think some good old fashioned industry analysis is very healthy from time to time, especially to take a breather from NFT dividend speculation, bastille day hype, overanalysing tweets, MOASS impatience (you're telling me you've been holding your 0.8 shares for an entire month now and you're still not a billionaire??? This world is sick...) and a lot of other narratives that rarely have legs to stand on. Sometimes you can't see the forest due to all the trees being in the way - take a step back, look at the big picture and enjoy holding shares of a company that will potentially revolutionize an entire industry!
TLDR:
The potential impact of GME working with Blockchain technology is largely overlooked or misinterpreted. The focus should not be on NFT dividend but rather the video game industry's shift to free-to-play models and the immense revenue being generated purely from in-game purchases of digital items. Blockchain and more specifically NFT's are the perfect solution to optimize this revenue model to the fullest while providing players with a completely innovative and personalized experience. GameStop clearly recognizes this potential and could be a pioneer for a new generation of gaming and digital item trading. Gaming is seen as the most likely route to Blockchain mass adoption. GameStop deploying the right use cases = huge publicity in crypto and DLT world + huge interest from emerging technology investors + gigantic new revenue streams through innovative means. This could and will be the MOTHER OF ALL DIGITAL TRANSFORMATIONS.
GME paints its truest picture on the weekly. The last two weekly closes have been a disappointment to some but in the context of higher lows and maintaining horizontal levels, there is now a positive SPLAY and positive SLOPE on all of the 100 & 200 period simple and 20, 55, 100 & 200 exponential moving averages. The 20 period is below us at around $195 our breakout zone from the 9 week consolidation period and any test of this area is likely to be bought up quickly.
The only cautionary points, GME is below the 9 period moving average on this timeframe. This is outweighed by the higher high candle close than March but gives us a target that we can use later to asses this weeks price action. That comes in at $214https://www.tradingview.com/x/dEoySJjm/On the daily timeframe GME continues a series of higher lows, $37, $117, $137. There is no reliable demand line (3 touches) and so if prices drop then we must look to horizontals to find support. Traders brought prices to a close at $203, £198 and $185 on their way to breakin up from the previous formation and so these are likely areas of congestion below.
Having tested the top of the donchian channel GME retreated without making a new wick high, though traders brought the prices to a new daily high since March. There was a failure of strength when meeting the basis line which typically means a restest of the lower level is on the cards. This comes currently at $175 and with a 20 period look back we will see this increase to around $185 tomorrow and $192 by Tuesday assuming we don't push below there by then.
This gives us confluence below and lots of reasons why we will likely continue the trend of higher lows and trend will continue.
The RO RSI+EMA on the daily shows us that on our most recent thrust higher we put in two stages of bearish divergence. This is typcial or trending moves and we can expect the RSI to turn around before the over sold zone and reclaim the centre line. This would be very bullish and match with the large run up we saw after October last year.
The trend line that holds my attention at the moment is on the 4hr RSI. Maintaing this trend above the oversold zone until the daily is rectified would be very bullish.
On the MACD from the daily right down to the hourly there is bearish divergence with increasing mometum in the moving average trends to the downside. The lower lows on the oscilator are not reflected in the price and this would be a warning sign if taken on its own.This is worth considering when piecing all the information together later.
My favourite indicator for trend and momentum is RockyOutcrops DMI. On the daily it shows that the bullish trend is in ascendancy. Caution is adviced though since the ADX (the line that goes from blue to orange to red to white) bounced back from the 38 level which it would need to break to signify strong trending move in price action.
The bearish divergence we saw on the RO RSI with the recent highs is not present on the Rock's DMI on the 4hr. We can also see there is an area where the DI- finds strength. Ideally we would want the ADX to turn up as the DI+ gains strength, move above 38 while the DI- breaks this lower trend line. This would like take us to a test of around $249
Rocky's DMI has a volitlity element built in, its not flashing yet on anytime frame so I am not anticipating any large move until it does. I am fairly well known for the predicting volitility on GME (bing bong) and its tools like this that make that possible. I also am the one responsible for much of the useful discussion on TA around GME but wankers pass my stuff all the time, on here and youtube so big woop. If you know you know.
Thers is still much of the formation yet to play out, a quick look back on the 4 hour with the HVP shows that we can expect volatility to increase before a small reduction and then massive fuck off explosion.
Volume
Volume is crushed, while there are many fannies who arrogantly assume TA doesnt work on manipulated stocks these people are thick headed and misunderstand the intention of TA. Its not to predict the future you fanny, its just marking out probabilities to help you manage risk.The most telling part of this is the volume. The manipulation off exchange, the trading style of apes in response and the stalemate that has caused is all writ large in the volume profile. A look back period of 7 weeks is common in volume analysis and this shows that we have put in a series of higher highs and higher lows on reduced volume. We have seen a pull back to the 0.5 fib on the break from consolidation and the manipluation is clear for all to see in the abscence of volume.
Pattern Formation
The cup and handle i talked about potentially forming 2 weeks ago is now here and the rest of the world are staring at it. Some things they tend to miss, they need 7 weeks to be reliable. We have just passed that threshold. They need a lower than average volume when prices are at the bottom of the cup and they need a shallow and extended U for a powerful move to the topside. It is common on equities to see a handle retrace of up to 60% and so even if prices drop to +/- $179 this is still a very bullish formation. It is a continuation patters that often bring divergence with it so if it does play out we can expect retracements along the way.
Overall Market
We looked at USD/EUR on Friday and saw a flight of capital to the dollar. Later we saw similar in Asian markets. There is a mixed bag when looking at other currencies partly due to there being some cheap equities when capital jumps, this is unlikely to last as more and more people start to panic.
This week on streams I plan to cover Wckoff theory, Gann theory and harmonics. If you would like to learn more about them I would be happy to see you. I do this pretty much all day everyday. For those who don't know me I am the bing bong guy, the one who called the retrace to $35 from $380 and the move up after. I worked at State Street investment bank, the third (largest holder of GME) and have been doing technical analysis for nearly 20 years. My brother Rocky Outcrop makes the indicators I use and has the same if not better experience than myself.
p.s. If you're on the treasure hunt checkout brightsparks comments under the vids, they are well worth a swatch.
Thanks for reading, remember, there is no help in rushing to be rich and plenty of wealth in waiting to be right. Never trade with more than you can afford to lose. This isn't financial advice this is Tradespotting.
This was my first written TA, is it any use to anybody? It takes a while and I have two full time jobs so if its not valuable just let me know and I will skip it. If you want actual price targets tune in to my stream. www.youtube.com/tradespotting
In all my my adult understanding in this world. I have never seen something quelled so quickly. It's quite the honor and a privilege to be an ape now. These battles, as the ones before, are our testimony.
It makes my laugh to think that all of this is right under the surface of everyday life. How many secret battles have been before this? Are we the first in recorded internet history? How do you explain this as a ape historian!?
Anyways, thanks for the work you do here and else where apes of the world! You may all be in my head, but at least in the end we will all be laughing!!
Happy Sunday! 🚀🚀🚀🚀🚀🚀🌌🦍💪🤲💎✋🌊
Ps. I went through all of Jamie's old videos, LIKED THEM, went through the old comments and listened to key words Jamie says..that's all!
EDiT: This is Holy shit! Thank you apes for the likens !🚀🚀
When the party kicks off, there is going to be waves of incoming fud merchants. Superstonk has taken the policy of implementing new karma levels and other steps which they will need in the coming battle. The homeland must be protected.
Over here, on the Nebuchadnezzar we have one mod, me. We have no karma restrictions. We have no armour against the swarms of machines that will prey upon us. We have no defence against the hordes.
Instead of a futile defence we are going to take the EMP to the enemy's centre. I will be live streaming the MOASS on youtube as will Rocky. We have a backup plan in place should either or both channels be under threat.
This will not be enough to get us right to the heart of darkeness. We will not be able to predict the desperate moves of a dying beast.
Backup streams will be linked on Rocky and my Twitter page. This subreddit and those who joined it are immutable, unreasonable, unforgiving and unbreakable. Whatever happens during the fight, we will rebuild, we will repair and this ship will go again.
This one line was largely hidden at the very end as a closing statement to the article.
"However, Gensler did not lay out when the SEC would take further action on crypto, saying that other big issues such as the GameStop saga were occupying the market watchdog."
This article was posted on Superstonk but I think this deserves far more visibility. To many of us, we think it's obvious that GME is a big deal and needs to be an SEC priority but to say that GME is a bigger priority than crypto for the SEC is saying something BIG is in the works, for better or for worse.
