Bearish "Top Triangle"
Intermediate-Term Bearish
A "Top Triangle" chart pattern formed on Micro-Mechanics
(Holdings) Ltd (5DD:SGX-ST). This bearish signal indicates that the stock
price may fall from the close of 1.990 to the range of 1.690 - 1.750. The
pattern formed over 24 days which is roughly the period of time in which
the target price range may be achieved, according to standard principles
of technical analysis.
The price seems to have reached a top, showing signs of reversal as it has broken downward after a period of uncertainty or consolidation. A Top Triangle shows two converging trendlines as prices reach lower highs and higher (or stable) lows. Volume diminishes as the price swings back and forth between an increasingly narrow range reflecting uncertainty in the market direction. Then well before the triangle reaches its apex, the price breaks down below the lower trendline with a noticeable increase in volume, confirming this bearish pattern as a reversal of the prior uptrend.
Notes: Stock Technical Analysis is based on past pattern and probability, not a call for you to trade. Do Your Own Due Diligent (DYODD).
See also;
Singapore Stock Technical Analysis
My Dividend Investing Strategy
STI ETF - Exchange Trade Funds
How Can I Start Trading Stocks In S'pore
Straits Times Index Stock Price History
Credit Card That Saves You Money