CANDLE STICK TREND ANALYSIS
· The Stock has been forming a huge consolidation triangle pattern on the 5 year chart .
· This is seen as lower highs forming on the one year and the 2 year charts.
· This is usually considered bearish until it breaks the triangle to the upside.
· For now the stock is still closing below the 200 day EMA, with the worst possible MA’s alignment of 20 day below 50 day below 200 day . This is not at all an encouraging sign when looking for a stock which can be bought.
· POINT AND FIGURE TREND ANALYSIS
· The stock was guided by a beautiful uptrend line since March ’09 till November ’09.
· Ever since the stock broke the uptrend line it has been making lower highs and lower lows which is not an encouraging sign while holding a stock.
· Advanced Point and figure analysis suggests that the stock is on a relative strength SELL implying that the stock is going to underperform the whole market . i.e. the stock losses more when the market has a down day and gains very less when the market has an UP day .