I'm a new trader. Bought "technical analysis of the financial markets" and I've been paper trading since first week in November. Plan on that for 6 months until I've learned enough to trade real money. I was studying the chart for BEAS trying to put together some of the trend patterns and I'm stumped with whats going on April '06 to August '06. I'm using the 2 year chart. My first thought was triple bottom, but then that can't be right b/c the bottoms are descending. Its not a wedge or a triangle, b/c both lines are pretty much parallel. Then I thought it could be a flag in an uptrend, but flags are only 1-4 weeks and this lasted 4 months. ps: looks like BEAS is currently in a bullish flag at the moment. Could be a good swing trade. Right ?
I used to make money out wedges and triangles but at the moment they are very wild and unpredictable. Flags and pendants were the trends to watch for a while but looks like they are slowly out of phase also. The patterns you looked at are channel patterns, the second one hasn't developed yet, but look for the uptrend when you enter a trade; also use MACD to confirm your directions for entry and exit.
Took a Look at beas Might be a buy for swing but I got this 14.2 area as a Dangerous point Seems from there wants 8... but anything could happen
i too took a look at beas. here is what i see on a short term basis. below all moving averages, negative crossovers - bearish. strong divergency in volume and momentum between the two lows of 11/16 and 12/11 - bullish. call activity,extremely low, people are not interested in this stock and most likely are buying puts if anything. - bullish money flow, apparently selling interest is diminishing - bullish. final verdict: buy