For those of you not paying attention to the Financial News, we've got an important case that could alter the market next Spring. Why next Spring? This is when a decision will be made as to who will pay or not pay Hank Greenberg and others up to $40 billion dollars. Not only that, if the US Government is on the hook for some or all of the award, it could allow...
The American International Group (NYSE:AIG) Daily Diagram Technical Analysis Training shows the following:
The AIG share has broken the neckline of SHS pattern that we have mentioned in last diagram. Now AIG is trying to breaches the Kijun Sen into the KUMO.
MACD is bullish under the zero line and RSI is 50 to bullish. The volume is moderate.So the first think...
The American International Group (NYSE:AIG) Daily Diagram Technical Analysis Training shows the following:
The AIG share has made a long term development with the support of Kijun Sen & Tenkan Sen lines (for 3 months now) (light blue & light green). These support lines are above the KUMO, which means that the AIG is bullish in long term. The weekly and monthly...
AIG had a very bearish signal a week ago. Because of some news, it went up again with a gap, only to reject the 54 level. A double bearish divergence on the histogram and a triple bearish divergence on the FI, with a false breakout, all on a weak weekly chart. I shorted at 53.36, with a stop at 54.44 targeting the 50$ round level, and maybe even 47$, allthough...
The Multiple weekly pin bars mark 46.50 area as a major long term support and a key directional level, i mean by directional here a main influence to price action. Holding above that support keeps the overall bullish trend intact. Although we have seen signs of topping in the past few months, as the bullish trend hasn't been as strong as earlier stages.
Price...
There seems to be profit-taking going on here in AIG and the stock continues to lag the broader markets of late. The ultra-cheap valuation is no longer there (see my older posts on buying AIG when it was much lower) and investors are simply pulling money off the table here and finding other bargains in other sectors (like oil stocks). Look for more profit taking...
Right now is either a good opportunity to go long or almost a good time to go short, depending on how you feel about the financial sector.
Quick overview.
On the rise since May
Recently broke 100 day EMA but bounced back over it.
Recently gapped down below old support line.
Still under old support line.
Short-term on the rise.
Formed a bearish engulfing pattern...
Break down of weekly support @ $50.34.
Due to the earning report, AIG sustained a large drop today of 6.5%. It broke through the weekly support @ $50.34, and filtered with the 2nd weekly support at $48.33, and finished just south of it ($48.28).
Looking ahead, I think the stock will consolidate around the previously established consolidation zones. In the...
