SIG Chart, page-9

On weekly charts (a much clearer picture than daily charts), I draw my horizontal trend lines based on past chart behaviour. SIG has a lot of historic trading in the 60c to 95c range, so its formed a lot of 'zones' over the years. I also focus on changes in volume as it can indicate when there is shift in interest in the stock. I don't bother with all the other indicators like MACD, RSIs etc. I try to keep the picture as simple as possible.

84.5c is an area which has been Resistance in the past, and also re-tested as a Support line once that Resistance was overcome. This isn't to say that exactly 84.5c is the Resistance price. Sometimes it might go 1 or 2c above before reversing; other times price will go through that Resistance, looking for next Resistance target (eg. 90c area). It just depends on sentiment & momentum at the time.

The key overhang for SIG at the moment is the Trending Resistance line, together with the 200 daily SMA. If SIG can move above these, and stay above them, SIG's chart would be a lot more positive. Because 74c has currently held as Major Support - the overall longer term trend for SIG is still sideways between 74c and 95c (roughly).