Ezra (Forming Bearish Flag Pattern)

Posted on Nov 5, 2011 No Comments    Posted under: Home Post, SG MarketWatch

Ezra (Forming Bearish Flag Pattern)

Over the past 3 trading days, Ezra triggered a bearish flag formation on the technical charts despite showing signs a rebound. It is observed that the trading volume of Ezra is on the decline in spite in spite of it trading higher. The formation of the bearish flag indicates that there is a chance that Ezra could potentially trade lower. If the bearish flag materialises, Ezra could potentially trade as low as 83 cents (as indicated in the big blue arrow in the chart above). Ezra currently faces immediate resistence from it’s 14 day moving average line. On top of that, the MACD seems to be forming a bearish crossover and the RSI is showing signs of weakening.

Before trading Ezra, it would be critical to observe that Ezra is able to find normacy from it’s 20day moving average line on tuesday. It would be good to observe the market on Tuesday’s opening before decide any trade on Ezra.

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