Chart Pattern Morphing

Chart Pattern Morphing

Most chart patterns morph into other patterns when they fail their formations. Chart patterns show possibilities of price direction, but they should never be considered a tool for price prediction. Charts tell you the story of what the markets have been doing, but they can’t tell you where it’s heading. Charts are tools for trading management and can help you minimize losses and become a better trader.

On our watchlist additions of November 14th, 2021, the stock with ticker $UPWK presented an Ascending Triangle formation since February of 2021. You can access the publication of this addition at this link. This chart has now morphed into a Rectangle pattern.

Rectangle pattern

TECHNICALS

On the daily timeframe, the price chart has formed a Rectangle pattern since February of 2021, finding strong resistance at the $60.50 price level, and finding support at the $39.35 price level.  A daily close of $62.30 will confirm the breakout from the rectangle pattern with a possible price target of $88.00. A daily close of $38.15 will confirm the breakdown of the rectangle pattern with a possible price target of $31.05.


Charts drawn using TradingView

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U.S. Equities Watchlist Additions – November 22nd, 2021

The following additions to our watchlist were brought to our attention over the past weekend since they show clear Rectangle Read more

U.S. Equities Watchlist Additions – November 19th, 2021

$EVRI - Everi Holdings, Inc. engages in the provision of technology solutions to the casino, interactive and gaming industry. It Read more

$TG – Breakdown Alert

Please scroll down to see the most recent updates to this post$TG - Tredegar Corp. engages in the manufacture of Read more

U.S. Equities Watchlist Additions – November 22nd, 2021

U.S. Equities Watchlist Additions – November 22nd, 2021

The following additions to our watchlist were brought to our attention over the past weekend since they show clear Rectangle patterns, usually the most reliable patterns for trading.


$STEM – Stem, Inc. builds and operates the digitally-connected energy storage network. It provides solutions that address the challenges of the dynamic energy market.

Sector: Producer Manufacturing

Market Capitalization: 2.801B

TECHNICALS

On the daily timeframe, the price chart has formed a Rectangle pattern since August of 2021, finding resistance at the $26.00 price level, and finding support at the $21.15 price level.  A daily close of $26.78 will confirm the breakout from the rectangle pattern with a possible price target of $30.85. A daily close of $20.52 will confirm the breakdown of the rectangle pattern with a possible price target of $17.20.

The chart shows that the price bounced off the support area on November 18th, 2021. We see a Bullish Engulfing candle on the following trading day ( 11/19/2021), indicating that higher prices could follow.

$STEM Rectangle pattern

$CNP – CenterPoint Energy, Inc. is a holding company that engages in power generation and distribution.

Sector: Utilities

Market Capitalization: 16.696B

TECHNICALS

On the daily timeframe, the price chart has formed a Rectangle pattern since June of 2021, finding resistance at the $26.60 price level, and finding support at the $24.17 price level.  A daily close of $27.40 will confirm the breakout from the rectangle pattern with a possible price target of $29.00.

$CNP Rectangle pattern

$X – United States Steel Corp. engages in the manufacturing and selling of steel products.

Sector: Non-Energy Minerals

Market Capitalization: 6.626B

TECHNICALS

On the daily timeframe, the price chart has formed a Rectangle pattern since May of 2021, finding resistance at the $28.85 price level, and finding support at the $20.50 price level.  A daily close of $29.70 will confirm the breakout from the rectangle pattern with a possible price target of $37.00.

$X Rectangle pattern

Charts drawn using TradingView

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Chart Pattern Morphing

Most chart patterns morph into other patterns when they fail their formations. Chart patterns show possibilities of price direction, but Read more

U.S. Equities Watchlist Additions – November 19th, 2021

$EVRI - Everi Holdings, Inc. engages in the provision of technology solutions to the casino, interactive and gaming industry. It Read more

$TG – Breakdown Alert

Please scroll down to see the most recent updates to this post$TG - Tredegar Corp. engages in the manufacture of Read more

U.S. Equities Watchlist Additions – November 19th, 2021

U.S. Equities Watchlist Additions – November 19th, 2021

$EVRI – Everi Holdings, Inc. engages in the provision of technology solutions to the casino, interactive and gaming industry. It operates through the segments of Games and FinTech.

Sector: Consumer Services

Market Capitalization: 2.106B

TECHNICALS

On the daily timeframe, the price chart has formed a Rectangle pattern since July of 2021, finding resistance at the $25.75 price level, and finding support at the $20.85 price level.  A daily close of $26.50 will confirm the breakout from the rectangle pattern with a possible price target of $30.65. A daily close of $20.20 will confirm the breakdown of the rectangle pattern with a possible price target of $16.85.


$HI – Hillenbrand, Inc. is a diversified industrial company, which engages in the development, manufacture, and sale of engineered industrial equipment.

Sector: Producer Manufacturing

Market Capitalization: 3.503B

TECHNICALS

On the daily timeframe, the price chart has formed a Head and Shoulders pattern since August of 2021, finding resistance at the $46.70  A daily close of $48.10 confirmed the breakout from the Head & Shoulders pattern with a possible price target of $52.70.


$BOX – Box, Inc. engages in the provision of enterprise content platform that enables organizations to securely manage enterprise content.

Sector: Technology Services

Market Capitalization: 3.769B

TECHNICALS

On the daily timeframe, the price chart has formed a Rectangle pattern since July of 2021, finding resistance at the $26.90 price level, and finding support at the $22.55 price level.  A daily close of $27.70 will confirm the breakout from the rectangle pattern with a possible price target of $30.65. A daily close of $21.87 will confirm the breakdown of the rectangle pattern with a possible price target of $18.25.


Charts drawn using TradingView

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Cryptocurrency Watchlist Additions – November 8th, 2021

The additions of these 3 cryptocurrencies to our watchlist show well defined chart patterns that could possibly offer profits with Read more

U.S. Equities Watchlist Additions – November 7th, 2021

The following 3 additions to our watchlist show well defined chart patterns that could possibly offer profits with the correct Read more

$TG – Breakdown Alert

Please scroll down to see the most recent updates to this post$TG - Tredegar Corp. engages in the manufacture of Read more

$TG – Breakdown Alert

$TG – Breakdown Alert

Please scroll down to see the most recent updates to this post

$TG – Tredegar Corp. engages in the manufacture of polyethylene plastic films, polyester films, and aluminum extrusions.

Market Capitalization: 401.534M

Sector: Producer Manufacturing

TECHNICALS

On the daily timeframe, the price chart has been forming a Rectangle pattern since July of 2021, finding  support at the $12.18 price level. The daily close of $11.89 on Nov. 17th 2021 confirmed the breakdown from the Rectangle pattern with a possible price target of $11.22.

$TG – Breakdown Alert


UPDATE 11/19/2021

The price target of $TG was reached on 11/19/2021

$TG Price target reached

UPDATE 11/23/2021

$TG bounced off the price target that was reached on 11/19/2021. The alert was sent two days before.


Charts drawn using TradingView

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Chart Pattern Morphing

Most chart patterns morph into other patterns when they fail their formations. Chart patterns show possibilities of price direction, but Read more

U.S. Equities Watchlist Additions – November 22nd, 2021

The following additions to our watchlist were brought to our attention over the past weekend since they show clear Rectangle Read more

U.S. Equities Watchlist Additions – November 19th, 2021

$EVRI - Everi Holdings, Inc. engages in the provision of technology solutions to the casino, interactive and gaming industry. It Read more

$APA – Rectangle Chart Pattern

$APA – Rectangle Chart Pattern

$APA – APA Corporation explores oil and natural gas through its subsidiaries. It produces oil and gas with operations in the United States, Egypt, United Kingdom, and offshore Suriname. The company was founded in 1954.

Market Capitalization 8.199B

Ownership Summary: 82.63% Institutional Ownership

TECHNICALS

The price chart has formed a rectangle pattern since March 2021, finding strong resistance at the $23.60 price level. The current price is above the 200 EMA. A daily close of $24.40 will confirm the breakout from the rectangle pattern with a possible price target of $30.70.


Charts drawn using TradingView

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$BDX in Trading range – Rectangle Chart Pattern

$BDX - Becton, Dickinson & Company is a company in the Health Technology sector that engages in developing, manufacturing, and Read more

U.S. Equities Watchlist Additions – November 19th, 2021

$EVRI - Everi Holdings, Inc. engages in the provision of technology solutions to the casino, interactive and gaming industry. It Read more

$TG – Breakdown Alert

Please scroll down to see the most recent updates to this post$TG - Tredegar Corp. engages in the manufacture of Read more

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