Price is consolidating at 24.85. I'm still long this, so hoping it's going to break on the upside. I would like to hear any comments on this pattern or anything else related to this chart or stock.
Preceeding uptrend was very clean and strong, than topping volatility came in and formed what seems to be a diamond top ready for reversal. Entry on the break of the diamond or a breakdown below 15. Possible support zones around 15 and then 13 and 12. The diamond price target would bring it right into the longterm .618 retracement. RSI seems to be breaking lower...
entry made after the diamond pattern of break
In this case, I believe that the figure does not tell the trend turns, and tell about the uncertainty in the market.
I have noticed the two patterns in picture. Both are reversal patterns, so we should observe an upward movement. It confirms my Gartleys idea (check related) in the longer term.
My thoughts are that oil will still be a valuable energy resource, and this article shows that offshore drilling is still in demand, positive news for the company that I am following. It has a good dividend and strong long term holders. I may be adding more to my energy portfolio in the future. "Obama administration opens up southern Atlantic coast to offshore...
Downward break out confirms likely continuation. Surprise of -0.11$ in earning likely did not help. Long term resistance from the channel likely did not aid. Setting conservative target of $13.20 Watch out for short term pull back to the breakout price. Would recommend stop loss at ~$15.80
After breaking north out of the diamond and then dramatically retesting on a news item, price bounced and stayed above trend lines and the midpoint of the diamond. Looks ready to resume upward momentum. Bullish divergence also gives a clue as to where price wants to go.
Doing some chart analysis, looking at the monthly and weekly time periods, and am liking oil / drillers on this setup. Particularly DO stock as they pay a nice dividend while i hold. What does everyone else think about this company?