Technical Analysis Of Karex

Karex is in a very bad downtrend whether long term or short term. Therefore, this stock might not be an ideal stock to buy right now. There is still no end to the downtrend.

When you have a stock that is in a downtrend in so many time frames, it is best to stand aside in this stock.

Let us take a look at some of the charts below to see what is happening to Karex.

technical analysis of karex

The chart above is the daily chart of Karex.

As you can see, this stock is in a bad daily downtrend. A stock that is in a downtrend will keep going down till the trend changes. It broke an uptrendline and proceeded to move lower. Then a few days ago, it broke below a consolidation box. This is usually a bearish continuation pattern and will usually send the stock lower.

The fact that the stock stays below the declining 200 MA shows us that this stock is very bearish in the long term.

The chart above is the weekly chart of Karex.

It has made a complete Stage 1 to Stage 4 cycle. From boom to bust.

Recently, it has broken below a long term support area and this is extremely negative for this stock from a technical point of view. Therefore, there is a big possibility for this stock to move lower.

How low, I do not know. There is no support area to watch and therefore, one should remain bearish on this stock till the trend changes.

Last of all, this is the monthly chart.

You can see that it is so bearish even in the monthly chart. The stock actually warned investors back in early 2016 that it was topping out. There was a very big monthly super topping tail and then the stock broke a long term uptrend line.

This is a stock that is very bearish.

If you plan to buy this stock, perhaps you might want to consider another stock that has more potential.

  • If you like this article, consider starting the Stock Market Course. It is free and jam packed with great information for newbies.
  • Want to have updates on the financial markets? Join my Telegram Channel. Dstockmarket Chat Group
  • Help support this page and press the Facebook Like button below. Thanks!

Join Dstockmarket's Facebook Page 

Recent Articles

  1. US Stock Market Analysis May 6 To May 10 2019

    May 06, 19 06:04 AM

    Technical analysis of the US stock market with coverage of futures.

    Read More

  2. KLCI Analysis 6 May To 10 May 2019

    May 06, 19 05:46 AM

    Step by step technical analysis of the KLCI Malaysian stock market.

    Read More

  3. Stock Market Analysis April 2019

    Apr 22, 19 06:55 AM

    A technical analysis of the US stock market. I go through the major indices of the US market and see where it is likely to go.

    Read More

  4. Technical Analysis Of Hang Seng Index : Market Outlook

    Apr 22, 19 06:47 AM

    Technical analysis of the Hang Seng. Learn how the Hong Kong stock market is doing and where it is likely to go.

    Read More

  5. Technical Analysis Of Maybank

    Apr 22, 19 06:36 AM

    Technical outlook for Malaysia's biggest market cap stock.

    Read More

New! Comments

Have your say about what you just read! Leave me a comment in the box below.