This post takes a look at the Aussie Telecommunication Services index, XTJ, and the six components that make up the index: Telstra Corporation, Vocus Group, Spark New Zealand, TPG Telecom, Speedcast International and Chorus. Regular readers of this blog will be aware that I have been bullish on Telstra for some weeks now and I thought it worth taking a look at the broader Telco index and the other components here. Needless to say, Telstra isn’t the only Telco looking bullish.

XTJ weekly: The Telecommunication Services index has already made a bullish descending wedge breakout and the target for this move is up near the weekly 61.8% Fibonacci level where there is previous S/R, circa 1,800. The XTJ index closed with a bullish colured weekly ‘Spinning Top’ candle in what was a bearish week for many other Aussie stocks:

All Ordinaries Index: XAO weekly: The Telecommunication Services index closed higher for the week whereas there was a bearish weekly candle printed for the broader Aussie All Ordinaries Index (XAO):

XTJ Components:

Telstra Corp: TLS weekly: I posted about Telstra back in early August suggesting traders watch for any bullish breakout. There has now been a bullish descending wedge breakout and I’m watching for any push up to $5 which is previous S/R and near the weekly 61.8% Fibonacci level. Telstra closed the week with a bullish coloured Doji in a down week for the ASX-200 (XJO). Watch for any close back above the Ichimoku Cloud and Volume spike.

VOCUS Group: VOC weekly: This has been a beaten stock over recent years but looks to be trying to recover after a period of basing-style price action. I’m watching for any close and hold above $3 and for any move back above the Ichimoku Cloud with a Volume spike.

SPARK New Zealand: SPK weekly: This Telco has already made a bullish triangle breakout but closed lower for the week.

TPG Telecom: TPM weekly: This Telco received a boost from merger talks but also closed a bit lower last week following the recent spike higher:

Speedcast International: SDA weekly: I’m not familiar with this stock at all and don’t like the chart. However, I’ll watch for any hold above the 61.8% Fibonacci:

CHORUS: CNU weekly: This is a new stock for me but I love this price action. This, to me at least. looks like a classic-style Ascending Triangle pattern. Technical theory would suggest that any breakout and hold above $4.50 might push higher by the order of magnitude of the height of the triangle. That is, by about $3.50. This would make the target for any breakout move at $8. I will be watching for any close and hold above $4.50: