Leading up to the celebrated IPO of SpaceX, Tim did several header posts highlighting a number of rocket companies that were enjoying a price rise as though they were somehow a proxy for the real deal: “This is just nuts, because anything with a rocket attached to it is blasting to preposterous levels.”
Tim further noted, “If SPCX starts to weaken in its first real trading week, you can expect this entire sector to go to the doghouse.” Tim was right, and the stocks he highlighted are now in a downtrend.
This post focuses on a separate “space” company, one I posted about on 7Jne26, stating, “ASTC looks bound to retrace its lofty rise of the past week.” Here’s that SocialTrade post:
This is a short term, shorting, trade proposal for ASTC. The chart is color coded, denoting support and resistance.
Conquering resistance is bullish. Losing support is bearish.
This proposed setup is first for a bounce, which then sets up a shorting op.
My bet is that price is headed down to the fuchsia dotted line, filling a gap at 2.64. But before continuing in that direction, price looks ready to come off of support (top green trendline) for a bounce that tests an overhead resistance level.
That resistance level is represented by three converging lines – one orange and one blue trendline, and horizontal resistance at 19.62. Top resistance may be 21ish. Time will tell and we shall see: Price will either be repelled at that level or it will rise and hold above it.
My guess is that resistance will hold and price will turn back down. Note that resistance not holding price down changes this short term thesis.
Let the color coded lines be your guide.
