It has been a busy day for chart requests here so you’re lucky I was home making my Christmas pudding! I have been asked to review Appen Limited which is a tech stock listed on the ASX. Once again, my analysis is technical and based off price action. Make sure you do your own due diligence.
APX monthly: price action has pulled back over the last few months but remains in an uptrend with the print of higher Highs and higher Lows.
APX weekly: there is a consolidation triangle of sorts, based off recent price action, and $25 looks to be some decent S/R on the horizontal level. This $25 level is worth watching; any weekly close near here followed by any bullish weekly candle would help shape up a bullish-reversal Morning Star style pattern. So, some patience is required here to see how this weekly candle, and then next one, closes. Any bullish recovery effort would bring the recent High, near $45, back into focus:
APX weekly + Volume: price action is in the bottom of thin Cloud so watch for any breakdown through this potential support:
APX daily: a battle seems to be going on at the $25 level. Momentum is currently bearish BUT note the recent downturn with the red-colored -DMI. This suggests that bearish momentum might be waning:
APX 4hr: note how $25 features on today’s 4hr chart as well. Bearish momentum declining here though as well:
Final comments:
- the longer-term trend on APX remains up.
- the shorter term trend on APX is down BUT bearish momentum is waning.
- price action is near $25 which is acting as some decent support.
- watch for the next two weekly candles AND for any potential bullish-reversal Morning Star pattern.
- Any bullish recovery effort would bring the recent High, near $45, back into focus.
- FWIW: the pudding has worked out nicely!
