Stock of the day: Ford
28 June 2023
Ford Motor Company, having initiated a proper buy signal at the beginning of June, is now drawing attention as it presents some interesting developments. The upward trajectory was sparked by the price's exit from a long-term symmetric triangle pattern, represented by black lines on the chart. This bullish breakout led to a significant price rise, hitting a horizontal resistance at $14.6. This point had previously marked local peaks in early February and mid-November 2022, and is highlighted in orange on the chart.
However, upon reaching this point, the price retreated, providing an ideal opportunity for profit-taking. Interestingly, yesterday's positive market session has once again put this zone under pressure.
Investors should watch this situation closely. If the price surpasses the orange area and ends the day above this resistance, it could provide a strong long-term buy signal. Conversely, if the price bounces off the orange area again, it could signal a selling opportunity. As of now, the odds seem slightly tilted in favor of the former scenario.