Category Archives: Stocks

Rogers Communications chart analysis

Breakout for Rogers (RCI.B:TSX) at $36 on the candlestick chart
Candlestick chart for Rogers (RCI.B:TSX) showing the breakout at $36 and confirming indicators of volume, obv and RSI

Rogers (RCI.B:TSX) Six-Month Candlestick Chart

What are the key points on the chart for Rogers?

  • Breakout at $36 which was a resistance level.
  • Bullish white candlesticks which closed near the high for each day.
  • The stock price is above the three simple moving averages — 10-Day, 20-Day and 40-Day.
  • Volume is increasing with the uptrend.
  • OBV is confirming the uptrend.
  • RSI is confirming the uptrend

Reference the fundamentals for Rogers.  Also, reference the previous analysis for a competitor: BCE.

Relevant articles picked from the web:

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Note: This technical analysis is for educational purposes so you can learn to trade online using candlestick charts. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The chart snippets are from BigCharts.com which I recommend and have used for fifteen years. The author of this article may hold long or short positions in the featured stock or index.

© 2011 TradeOnline.ca

Candlestick chart analysis for BCE

What was the reaction on the chart to the earnings release for BCE?
BCE chart analysis based on the daily chart showing the reaction to the earnings release with confirming indicators of volume, OBV and RSI.

BCE Daily Candlestick Chart

It is very important to evaluate the reaction on the chart to a earnings release or company announcement: this is the only thing that counts.

What are the key points on the above chart?

  • Tall bullish white candlestick in reaction to the results.
  • Above average volume for the candlestick is confirming the uptrend.
  • On Balance Volume (OBV) is confirming the move.
  • Relative Strength Index (RSI) is confirming the move.
  • RSI is overbought but this is normal on a fast upward move.
  • $38.00 is near-term resistance

Based on the chart, I have an intermediate target of $40.00 for BCE. Investors are moving money into stable dividend paying utilities, and BCE has a very attractive yield.

Reference the previous chart analysis for BCE based on the daily chart. And reference the previous analysis based on the weekly chart.

View the quarterly results for BCE.

Relevant articles from the web:

BCE analysis based on the daily candlestick chart

Two shaven head candlesticks bode well for the uptrend
BCE daily candlestick analysis showing two shaven head candlesticks with confirming indicaors of volume, OBV and MACD

BCE Six-Month Daily Candlestick Chart Analysis

Updated BCE chart analysis published August 3, 2012

Some key points from the above daily chart are:

  • A bullish shaven head (closes on the high) candlestick has closed above resistance of $36.75.
  • The near-term trend is up as indicated by the two bullish candlesticks.
  • On Balance Volume (OBV) is confirming the near-term uptrend.
  • The MACD is confirming the near-term uptrend.
  • Volume is ok but a little light for the two bullish candlesticks.

I use the above analysis as one of the inputs for a derivative trading strategy. Derivatives will not be reviewed in this post.

Reference the previous analysis of BCE based on the weekly chart.

BCE  will release quarterly results on Thursday, May 12, 2011.  It is important to monitor the reaction on the chart to these results.

Update May 12, 2011:  Here are the results.  Now you have to monitor the reaction on the charts.

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Note: This technical analysis is for educational purposes so you can learn to trade online using candlestick charts. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The chart snippets are from BigCharts.com which I recommend and have used for fifteen years. The author of this article may hold long or short positions in the featured stock or index.

© 2011 TradeOnline.ca

Dundee REIT (D.UN:TSX) candlestick chart analysis

Dundee Real Estate Investment Trust in an uptrend
Technical analysis of Dundee REIT using the 3-year candlestick weekly chart showing the stock in an uptrend

Dundee REIT (D.UN:TSX) Three-Year Weekly Chart

Reference the previous chart analysis for Dundee REIT.

Update July 21, 2011: Dundee grabs office buildings

Update January 24, 2012: ScotiaPlaza sale should provide boost to REITs

Precision Drilling technical analysis

Precision Drilling (PD:TSX) candlestick chart with a bullish engulfing pattern
Candlestick chart analysis showing a bullish engulfing pattern on the weekly chart with confirming volume.

Precision Drilling (PD:TSX) 2-Year Weekly Chart

Reference the previous chart analysis for Precision Drilling.

Precision Drilling Corporation (“Precision”) intends to release its 2011 first quarter results before the market opens on Tuesday, April 26, 2011 and has scheduled a conference call and webcast to begin promptly at 12:00 Noon MT (2:00 p.m. ET) on the same day.  Analysts expect earnings of 26 cents a share.

April 26, 2011 Update: The Calgary-based concern on Tuesday posted net earnings of $66 million, or 23 cents per share, for the three months ended March 31. That compared with net earnings of $57 million, or 20 cents per share, in the first quarter of 2010.

Candlestick chart for Precision Drilling showing a doji candlestick pattern in reaction to the first quarter results

(PD:TSX) 1-Month Daily

What will be the reaction on the chart to the first quarter results?  That is all that counts.

A doji candlestick (opens and closes at or very near the same level) formed on the daily chart at the end of trading for Tuesday, April 26, 2011. This was the reaction of the market to the first quarter results. It represents indecision and a battle between the bulls and the bears. Considering the recent run-up in the stock price,  the fact that Precision Drilling stock did not sell off on the earnings miss is a positive reaction on the chart. Set alerts at $15.00 and $14.00 and monitor for the development of a consolidation pattern.
Doji candlestick with the opening and closing price at the same level
The doji candlestick has the same opening and closing price.  In the Precision Drilling chart to the right, the doji is part of a consolidation pattern. But, the doji is an important candlestick especially for indicating tops.  As in all technical analysis, you have to look at the total picture before making a decision based on one candlestick formation.  Always look at the price action the next day to corroborate any pricing pattern.