During August and September of this year the share price of leading telecommunications stock Telstra fell from a high of $5.85 to just under support at $5. ($4.95)
It has now formed a “Double Bottom” and after a second Bullish Engulfing Pattern, the share price looks set to rebound higher.
Some retail investors may consider this to be an appropriate time to increase their shareholding in Telstra, but should first consult their financial adviser(s).
The writer acknowledges that he owns Telstra, and has now added to his holding.
Categories: Chart Review