Doesn't look good for Bellamy's share price based on this bearish signal !
Bellamy's Australia Ltd forms bearish "Continuation Diamond" chart pattern
Jan 11, 2019
Recognia has detected a "Continuation Diamond (Bearish)" chart pattern formed on Bellamy's Australia Ltd (BAL:ASX). This bearish signal indicates that the stock price may fall from the close of 7.24 to the range of 5.20 - 5.60. The pattern formed over 56 days which is roughly the period of time in which the target price range may be achieved, according to standard principles of technical analysis.
Tells Me: The price has broken downward out of a consolidation period, suggesting a continuation of the prior downtrend. The Continuation Diamond (Bearish) begins during a downtrend as prices create higher highs and lower lows in a broadening pattern. Then the trading range gradually narrows after the highs peak and the lows start trending upward. When the price breaks downward out of the diamonds boundary lines, it marks the resumption of the prior downtrend.
This bearish pattern can be seen on the following chart and was detected by Trading Central proprietary pattern recognition technology.
