June 4, 2011

  • Ford gave a clean breakdown from a trend line in weekly chart.
  • Price has closed below 50 week moving average.
  • Immediate support for the stock is the last swing low 13.75 and the Golden ratio at 13.25 level.
  • Unless a big turnaround comes Medium term looks weak for F.
  • BEARISH ENGULFING OF IWM
  • IWM Weekly chart has given another bearish engulfing for bears.
  • Price has also closed below its 20 week moving average.
  • But daily chart shows a chance for a small bounce. Price is at a support line and the lower Bollinger band. Daily candle looks like a pin bar reversal candle. So combination of these things might result in a small trading bounce.
  • One more thing to note is that price after giving the first bearish engulfing did go to 85 levels before selling off. So we may expect a similar price action to happen.
  • But the medium term looks bearish.
  • DOW JONES ANALYSIS AFTER CLOSING BELL
_______________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
  • First chart shows Dow closing near the previous support level of 12090 - 12110.
  • Breaking below this level may take Dow to 11500 levels in the short term.
  • Price has closed below its 100 Day Moving Average. But Stochastic indicator is showing Oversold reading which might result in a bounce. If price holds 12090 and come back to close above 100 DMA then we may see a good turn around.
  • Hour chart is getting resisted at 100 Hour moving average. So good up move can be seen on closing above this level.

Disclaimer

All the contents of niftychartsandpatterns are for educational purposes only and are not Investment Advice or recommendations offered to any person(s) with respect to the purchase or sale of the stocks / futures. Niftychartsandpatterns shall not be held responsible for the actions of individuals, parties, or corporations taken in response to the ideas, thoughts, concepts or information presented in this blog. Hence all the visitors are requested to apply their prudence and consult their financial or investment adviser before acting on any of the Ideas in this blog.

Followers

Blog Archive

Powered by Blogger.

My Favourite Quote

"All through time, people have basically acted and reacted the same way in the market as a result of: greed, fear, ignorance, and hope. That is why the numerical formations and patterns recur on a constant basis."
—Jesse Livermore