BEA Be Good
For many traders, it’s a frustrating time, as trends
continue having difficulty asserting themselves. Yet, from a purely technical
standpoint, the crosscurrents make for a fun and interesting challenge.
As I’ve said in the past, when things look fuzzy in the short-term time frame,
back away and you’ll see that they often come into focus.
Here is a weekly chart of BEA Systems
(
BEAS |
Quote |
Chart |
News |
PowerRating).
Clearly, BEAS is trying to build classic cup-with-handle pattern
that extends from the beginning of this year to the present. Volume has dried
over the past three weeks, as the price action continues to drift sideways,
forming a handle That’s what you generally want to see. Thursday’s action sent
BEAS to the top of the handle on increased volume. But we’ll want to see more
volume come in on any serious breakout attempt to new highs.
BEAS is worth monitoring.
See you tomorrow,