Sunday, July 19, 2015

Bank Of America (BAC) Ends Week at Resistance on Weekly Chart - Breakout Imminent?

The weekly closing price chart below shows that BAC has apparently ended the week at resistance (solid red line).  

Is a long awaited breakout imminent? I don't predict price, I follow it.  So we will have to wait until the close of trading this Friday (7/24) to know for sure (as this is a weekly closing price chart analysis).

If I was interested in owning BAC, a verified break above resistance may be a good time to establish a buy and protect position/strategy by using the former resistance line as support and a stop-loss trigger (if the price dropped back below the resistance/support line it would trigger a sell action to protect capital).

click chart to enlarge

Again, as clearly indicated below and elsewhere on this website in more detail, this is not investment advice - nothing in this post should be construed as advice or a recommendation to buy (or sell) BAC.  This is simply an example of how I could potentially use technical analysis with a buy and protect strategy to invest in BAC.  I could lose money on an investment in BAC as could anyone else who uses this strategy.

Not Investment Advice | Important Disclaimer: 
The content in this article, including the identification and discussion of any specific security (e.g., bond fund), is NOT meant to be and should NOT be construed and/or used as investment advice. This article is for general information and educational purposes only. Please read the Disclaimers  for in their entirety. The U.S. Securities and Exchange Commission website has guidance on selecting an investment adviser.

Financial Disclosure:
The author/publisher has no position in oil or CVX at the time this article was written.

No comments:

Post a Comment