Don't Ignore This Chart!

Mattel Challenges Resistance with Signs of Accumulation

 | 

Mattel (MAT) led the market from early October to early February with a 65 percent advance and then moved into a large consolidation the last six months. More recently, the stock surged off support in late June and then formed a smaller consolidation near resistance. Notice that the stock advanced with good volume on Monday and this could foreshadow a breakout. The lower indicator window shows the Accumulation Distribution Line moving higher during the larger consolidation. This suggests buying pressure within the consolidation and increases the chances of an upside breakout. 

****************************************
Thanks for tuning in and have a great day!
--Arthur Hill CMT

Plan your Trade and Trade your Plan
*****************************************

Announcement from the Author

{{ announcement.content }}

Arthur Hill
About the author: , CMT, is a Senior Technical Analyst at StockCharts.com. Focusing predominantly on US equities and ETFs, his systematic approach of identifying trend, finding signals within the trend, and setting key price levels has made him an esteemed market technician. Arthur has written articles for numerous financial publications including Barrons and Stocks & Commodities Magazine. In addition to his Chartered Market Technician (CMT) designation, he holds an MBA from the Cass Business School at City University in London. Learn More
Subscribe to Don't Ignore This Chart! to be notified whenever a new post is added to this blog!
comments powered by Disqus