technical analysis exercise 1D Chart 12Apr22 for PLTR, SE & INTC
Technical Analysis Exercise (12Apr2022)
This is looking at charts based on technical analysis of their 1D chart. It is strongly recommended to conduct fundamental analysis before we conduct any technical analysis.
Abbreviation (based on 1D chart)
MA = Moving Average
MA50 = Moving Average 50 days (short term trend)
MA200 = Moving Average 200 days (longer-term trend)
Being prudent, I will give preference MACD indicator for the following logic:
I will rather be late than too early. I may get lesser profits but I could (potentially) avoid a bigger loss (entering too early and catching a falling knife). One of the factors influencing my decision will be the Beta of the stock (above 1 being more volatile). If the stock is more volatile, I may consider leaning more on stochastic than MACD. As per my previous article, MACD is giving a much more reliable signal than Stochastic.
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| PLTR 1D chart as of 12Apr22 2320hrs |
Avg. Volume is 52,748,511 (52.7M) but the last few days, the trading volume are 34.7M, 24.9M & 26.0M for 7, 8 & 11 Apr 2022 respectively. This is below the average volume, thus, the lack of interest (bulls staying away) contributes to the downtrend.
MA50 = down
MA200 = down but looks to bottom up soon
Stochastic = down but looks to bottom-up
MACD = down
Avg. Volume is 52,748,511 (52.7M) but the last few days, the trading volume are 34.7M, 24.9M & 26.0M for 7, 8 & 11 Apr 2022 respectively. This is below the average volume, thus, the lack of interest, seen in the downtrend.
It is a mixed-signal coming from MACD and Stochastic. Peeping into the 1H chart, stochastic is approaching the overbought region and MACD is on an uptrend.
However, it is possible for stochastic to range sideways along the overbought region as prices surge upwards. (Similarly, a downtrend of price is possible when a stochastic range sideways.)
It is a potential breakout (up or down). Based on the current volume, it should fall first before rising over the next few days.
Avg. Volume is 9,910,678 (9.91M) but the last few days, the trading volume are 5.1M, 4.7M & 5.1M for 7, 8 & 11 Apr 2022 respectively. This is well below the average volume, thus, the lack of interest (bulls staying away) contributes to the downtrend.
MA50 = down
MA200 = down but yet to bottom-up.
Stochastic = down but looks to bottom-up
MACD = down and could form a double bottom (which is typically a reversal signal).
It is a mixed-signal coming from MACD and Stochastic. I lean towards an up trend over the next few days.
Avg. Volume is 38,976,808 (38.9M) but the last few days, the trading volume are 24.1M, 22.1M & 30.3M for 7, 8 & 11 Apr 2022 respectively. This is well below the average volume, thus, the lack of interest (bulls staying away) contributes to the downtrend.
MA50 = down
MA200 = down
Stochastic = down and about to bottom-up
MACD = down and could form a double bottom (which is typically a reversal signal).
It is a mixed-signal coming from MACD and Stochastic. I lean towards a downtrend first before bottom up over the next few days.
These are a few examples of how I apply technical analysis (assuming that I have qualified the stocks prior). Please do your due diligence before investing. For both $PLTR & $SE, I am in a "spectator" mode, observing and not investing for now.
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