Looks like upward channel is further confirmed with last week’s trading action when the index went back inside the existing channel and found support near the support line of the channel.
With the white candle appearing on the last trading day, it is highly probable that the index would bounce from the support line and try to reach the resistance line of the channel near 5510. The stochastic momentum index seems to support this idea as it positions itself for a cross above its %D moving average or the slow stochastic. The RSI also supports this idea as it now starts to move upward again.
With the channel further confirmed, a range trading strategy is recommended.
PCOR (Chart: Daily Resistance: 11.10 Support: 10.80/10.48)
PCOR is one stock that seems to be turning around and is slowly starting a positive upward trend.
Looking at the weekly chart, the past two weeks were witnesses to the sudden increase in trading volume for this stock, the latest positive trading action since the start of the year. The weekly MACD is also hinting on the possible positive upward movement for this stock as it nears the center line.
However, on the daily chart, the indicators are starting to point to a negative event as all indicators are now moving downward.
So to sum up, the general view for this stock is positive as shown by the weekly chart, but the daily chart, as of the moment is negative. So for those whose objective is long term hold for this stock, the possible negative/downward movement next week would be good for entering this stock. For those looking for a short term hold for this stock, you might need to sell for now and buy back near the support line at 10.48.
No comments:
Post a Comment