Johnson Controls Inc

AAA

Today we've chosen to take a look at Johnson Controls Inc. (NYCE:JCI) because it is testing an influential level of resistance. As you can see from the chart below, the bulls have tried to push the price above the 200-day exponential moving average several times since the start of 2008, but each time they are met with a wave of selling pressure. We've also noticed that a symmetrical triangle has formed on the chart. Bullish traders will want to wait until the price is able to move above the nearby resistance before they consider entering a position. The triangle is often regarded as a neutral signal until the price moves beyond one of the price barriers.

We expect that bearish traders will watch for a bounce off the nearby trendline and will try to send the stock toward $33. A break below the lower trendline will signal a continuation of the downtrend and it will likely be followed by another wave of sell orders.

comments powered by Disqus
Related Analysis
  1. The ADX Shows Strong Uptrends In These 4 Stocks
    Chart Advisor

    The ADX Shows Strong Uptrends In These 4 Stocks

  2. Falling Prices Are Dragging These Gold Stocks Down
    Chart Advisor

    Falling Prices Are Dragging These Gold Stocks Down

  3. Invest In Dividend Aristocrats With This ETF
    Chart Advisor

    Invest In Dividend Aristocrats With This ETF

  4. Downward Trend Channels for the Market Correction
    Chart Advisor

    Downward Trend Channels for the Market Correction

  5. Oil, Oil Stocks: What The Charts Are Saying
    Chart Advisor

    Oil, Oil Stocks: What The Charts Are Saying

Trading Center