Tag Archives: shooting star

Shooting star for Barrick Gold on the daily chart

Caution:The shooting star is a flashing yellow light.
Barrick Gold (ABX:TO) 6-Month Chart showing a shooting star candlestick.

Barrick Gold (ABX:TO) 6-Month Chart

Need to monitor the price action on Tuesday for the possible formation of an evening star pattern. The evening star is a potent reversal pattern.

Reference the last chart analysis for Barrick gold.

The best book on the subject of candlestick charting: Japanese Candlestick Charting Techniques: A Contemporary Guide to the Ancient Investment Techniques of the Far East by Steve Nison

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“Technical Analysis is about probabilities.”

Note: Click on HOME for updated postings. This technical analysis is for educational purposes so you can learn to trade online using candlestick charts and other technical indicators including volume, moving averages and oscillators. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The author of this article may hold long or short positions in the featured stock or index.

© 2016 TradeOnline.ca

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Should you invest in the TSX?

TSX Index could not hold the old trading range
TSX Index daily candlestick chart showing the near-term downtrend.  A shooting star candlestick is identified on the chart.

TSX Index Daily Chart courtesy of StockCharts.com

The TSX Index could not hold support of 12,600 in the old lateral trading range. Will the near-term downtrend stop at the support level of 12,300? If not, the TSX will move down to the support level of 12,000.

Should you invest in the TSX? The above chart is your answer. Now take a look at another chart.

Reference the last chart analysis for the TSX Index.

Relevant articles picked from the Web:

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Note: Click on HOME for updated postings. This technical analysis is for educational purposes so you can learn to trade online using candlestick charts and other technical indicators including volume, moving averages and oscillators. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The author of this article may hold long or short positions in the featured stock or index.

© 2013 TradeOnline.ca

S&P 500 Index candlestick chart analysis

Shooting star candlestick at the resistance zone
Candlestick chart analysis for the S&P 500 Index showing a shooting star candlestick and a hammer.  This is a graphical representation of the index struggling to break resistance at the 1,425 resistance zone.

S&P 500 Index 2-Year Weekly Chart

Candlestick chart analysis for the S&P 500 Index showing a shooting star candlestick and a hammer. This is a graphical representation of the index struggling to break resistance at the 1,425 resistance zone.

On a daily chart, you can see the 1,425 resistance zone in addition to the next near-term resistance level of 1,440.

A confirmed break above 1,440 would setup the S&P 500 Index for a test of major resistance at 1,470.

Reference the last chart analysis for the S&P 500 Index posted on November 23, 2012.

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Note: Click on HOME for updated postings. This technical analysis is for educational purposes so you can learn to trade online using candlestick charts and other technical indicators including volume, moving averages and oscillators. 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.

© 2012 TradeOnline.ca

Technical Analysis: PotashCorp (POT:TSX)

Shooting star candlestick near the resistance zone
Shooting star candlestick for PotashCorp indicates a deadlock between the bulls and the bears.  Caution is advised.

PotashCorp 6 Month Chart Analysis

Shooting star candlestick indicates caution near the resistance zone: a deadlock between the bulls and the bears.

Reference the last chart analysis for PotashCorp posted on June 19, 2012 which identified the bullish shaven head candlestick at the start of the near-term uptrend.

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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.

© 2012 TradeOnline.ca

Thomson Reuters (TRI:TSX) candlestick chart analysis

Shooting star candlestick at resistance of $30.00
Thomson Reuters six month daily candlestick chart showing a shooting star candlestick as a reaction to the earnings release.

Thomson Reuters (TRI:TSX) Daily Chart

There was a positive reaction to the earnings release for Thomson Reuters as indicated by the gap and the close of $29.78. But the shooting star candlestick is a graphical representation of the selling pressure at the $30.00 resistance level. The stock opened at $29.75, rallied to $30.21 but closed at $29.78: practically unchanged from the open.

The trend is everything in technical analysis. The major trend is down for Thomson Reuters, the intermediate trend is sideways and the near-term trend is up.

A confirmed break (use the percentage and time filter) above resistance of $30.00 would indicate an intermediate target price of $33.00. If the stock cannot break resistance, it will continue to trade in the congestion zone with support around the $28.00 level.

Thomson Reuters Reports First-Quarter 2012 Results

We are all students of the market and it can be a harsh teacher. Enjoy your trading day.

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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.

© 2012 TradeOnline.ca

Shooting Star Candlestick for Shoppers Drug Mart

A shooting star candlestick developed on the daily candlestick chart which can be compared to a caution light.

It shows that the rally could not be maintained.  The stock opened at $40.82, above the close for the previous day’s bullish white candlestick, which was a strong opening.  But the bulls could not maintain the push  as the stock rallied to a high of $41.59 where there was selling pressure and the stock closed at $40.87: this was not a good day for the bulls.

Candlestick Analysis - shooting star candlestick for Shoppers Drug Mart

3-Month Daily Candlestick Chart

The trend is the most important concept in technical analysis. The intermediate trend (3 weeks to 3 months) is sideways and the near-term trend (within the last 3 weeks) is up. What we are trying to establish in this analysis is the likelihood of the near-term trend continuing upwards. Today, there is a hint of caution which you can see pictorially in the shooting star candlestick pattern.

Another important concept in technical analysis is support and resistance. On Monday, Shoppers Drug Mart closed above resistance at $40. This has been resistance for the last four months. The $40 price point reverses rolls and is now support for this stock. A close below $40 would be very negative for the near-term trend for Shoppers.

Suncor – Shooting star candlestick

The intermediate trend (three weeks to three months) for Suncor is up.

But the shooting star candlestick is a warning signal: it is like a yellow light indicating caution. I do not want to see a close below $40 which is a support level. The next major support point would then be $35.

Technical analysis for Suncor listed on the TSX - shooting star candlestick

Suncor - 2-Year Weekly Chart