Here is a LNKD chart from a couple of days ago. They announce their earnings later today after close. Do you think it has held that trend line for a reason and is now going to gap up as it did back in late Oct'14, and early Feb'15...
Earnings defy technical analysis, unpredictable. You trade after earnings, not before, that's a thing of amateurs.
probably you need something like that http://www.elitetrader.com/et/index...k-in-this-stock-hell-of-a-lot-simpler.291190/ but using monthly time frame. that can give you direction and possibly entry or exit points, but taking the stock into consideration: maybe it's only now "so far so good"? maybe better to fix that gain?
Technical Analysis is simply a visual representation of the tape, and back in the days, tape readers could detect buying and selling pressure. That being said, technical analysis can tell you who's in control...bulls or bears. However, there are periods of silence or equilibrium and anything can happen. The chart that you posted shows an apex, indicating that something big is about to go down but its 50/50. What that tells me is that everyone, even insiders, are probably waiting on earnings as well before making their move.
no way I can tell anything about the reaction after earnings when I watch at the daily chart before. no way. always surprises.
A simpler side note, does pre-earnings performance telegraph post earnings performance (positively or negatively)? I would like to see the research if anybody has links.