Candlestick Charting Beazley…

Posted: September 9, 2013 in Beazley

After mentioning my portfolio errors with Beazley (BEZ:LN) after my abandoning all sense and logic and cancelling the stop-loss, I have decided to stick to it out rather than crystallizing a loss now.

Making sense of this madness and trying to rationalise a crazy decision is I know an investing error, however it is true that this “sticking-it-out” on Beazley is going to present me with a real opportunity to first-hand experience, and trial some candlestick charting techniques.  As I posted on an earlier blogpost I am using technical analysis to assist me in my investing, but I am only going so far as the basics, i.e. sticking mostly to breakouts, moving averages, and resistance levels etc.

Candlestick charting isn’t something I am going to put too much faith in, (although I have spent quite a while researching and reading about) but nonetheless when I am watching and directly involved in a sliding share, which has now no more planned key announcements to make until November, it gives me a nice window to observe how investor psychology and habits, might be translating into candlestick patterns that might be of use to me in the future (applied elsewhere).

True I could do this by picking on practically any other share, I feel however that since BEZ:LN is a share I own, and one that I am already holding as a loss making position. It will sharpen how I behave, and analyses the data.

Basically what I am trying to do, is observe a reversal of the bearish pattern which has set-in.  So far a resistance around the 200 mark appears to be the limit where the bears have no further appetite.

Barring further negative news, I imagine this will continue its longer term climb in line with the growth of the business, and I can see no reason why this wouldn’t continue.

Author can be contacted: Investing1234@hotmail.co.uk
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