FTSE: The Long And Short Of It | AVEVA, Oxford Instruments, Spirent, Shell
City Index | Dec 16, 2019 07:18
The following stocks, if not from the list above, have been selected due to displaying price action characteristics of interest.
AVEVA Group PLC (LON:AVV) CFD/DFT: This stock continues to show up on our watchlist as it continues to push to new highs. Friday’s bullish engulfing candle suggests a swing low could be in after forming a small flag pattern. However, unlike some equities on Friday, its bullish close was not so extreme that it looks immediately over extended and therefore due some mean reversion. Traders can either seek a break above 4600 or wait to see if a base builds above the 4310 – 4354 region.
Get The App
Spirent Communications plc (LON:SPT) CFD/DFT: Closing the week at its highest level since 2001 on Friday, we see further upside potential. With three failed attempts to break below 206.50, there’s clearly demand around that level so we remain bullish whilst prices trade above it. We can see that patience would be required here as price action tends to alternative between bullish and bearish frequently, yet the trend is clearly pointing higher.
Oxford Instruments (LON:OXIG) CFD/DFT: Since hitting a 5.5 year high, we’ve seen a retracement test (yet close above) the 38.2% Fibonacci level with a bullish pinbar. Moreover, the 50-day eMA is acting as support and it’s in the vicinity of the June highs. We therefor suspect the corrective low is in. Bulls could wait for a break of a corrective line or Friday’s high to assume bullish resumption and for a retest of the 1672 high. A close below 1424 places it onto the backburner.
Royal Dutch Shell PLC Class A (LON:RDSa) CFD/DFT: Prices are on the cup of breaking to new lows. However, as we saw a heavy volume day respect support, it leaves room for a bounce prior to its next breakdown. Bias remains bearish below the 2182.50 high. Whilst a break above this key level doesn’t mean it won’t break to new lows later, it does place it onto the backburner. Whereas a direct break below 2124 assumes bearish continuation.
Disclaimer: The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient.
Any references to historical price movements or levels is informational based on our analysis and we do not represent or warrant that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, the author does not guarantee its accuracy or completeness, nor does the author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Original Post
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.