Caltex Australia Limited (CTX.ASX) | 10/10/2018 | 1 Year, Daily Chart
Base breakout failure
$37.00
$35.00
$33.00
$31.00
$29.00
$27.00
9/10/2017
6/11/2017
4/12/2017
4/01/2018
4/02/2018
4/03/2018
4/04/2018
3/05/2018
31/05/2018
29/06/2018
27/07/2018
24/08/2018
21/09/2018
Moves below 50-day moving
average and begins medium
term downtrend
Interesting spot here
for a potential buy on a
pullback. The stock might
also need more time to work
through recent selling
Potential future
support for the stock
Stock moves above 50 day moving
average and starts what is looking
like a new consolidation period
5 Year Chart
40
35
30
25
20
15
Technical Summary: It has been a long consolidation period for most of the last 5 years for CTX. The stock has largely gone sideways between $30 and $37 per share. This action has continued in the last year with the stock now trading towards the bottom end of this trading range. This may provide an opportunity for traders that are looking for mean reversion within a trading range. For those looking for a trend there is no real action here. The one year chart above is defined by a failed base breakout earlier in the year followed by a medium term downtrend until the stock found support at around $29 per share. Since that time the stock has looked to consolidate and is a potential buy as a mean reversion trade. Others may look at the chart and decide that it needs more time to digest the recent selling.