From a fundamental viewpoint, Mastech Digital, Inc (
MHH
) appears to be in great shape. In addition, when looking at a long term monthly chart, we have what appears to be a possible bullish flag scenario playing out. When we zoom in and look at the shorter term daily chart (shown), we see a clear downward trendline, acting as resistance, currently coming in at approx. ~$17.45 and falling. We also have big support coming in at an approximate range of ~$15.45 - 15.75. Should we see a break above the falling resistance line along with a daily close, I expect the bullish scenario to play out (shown in green). If it does, we will have buying entry points at both the breakout point and if we get the likely retest of the former resistance line (becoming support).
Should we break below support along with a daily close, I expect the bearish scenario to play out, where we continue grinding down within the downward channel. I expect this scenario to be less likely based on the long term pattern and fundamentals of the company, however we can't be certain either way.
Everything shared here is only my opinion and no results are guaranteed. Let's see how this one plays out. Good luck!
MHH
) appears to be in great shape. In addition, when looking at a long term monthly chart, we have what appears to be a possible bullish flag scenario playing out. When we zoom in and look at the shorter term daily chart (shown), we see a clear downward trendline, acting as resistance, currently coming in at approx. ~$17.45 and falling. We also have big support coming in at an approximate range of ~$15.45 - 15.75. Should we see a break above the falling resistance line along with a daily close, I expect the bullish scenario to play out (shown in green). If it does, we will have buying entry points at both the breakout point and if we get the likely retest of the former resistance line (becoming support). Should we break below support along with a daily close, I expect the bearish scenario to play out, where we continue grinding down within the downward channel. I expect this scenario to be less likely based on the long term pattern and fundamentals of the company, however we can't be certain either way.
Everything shared here is only my opinion and no results are guaranteed. Let's see how this one plays out. Good luck!
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We've gotten our breakout, retest of the breakout point, resumption, and are now coming back into horizontal support. I am still bullish on this stock and do not expect this to go below $15.50, however if it does, my thesis will be proven incorrect.
Comment:
The featured content is intended to be used for informational purposes only. Everything shared here is my own opinion. It is very important to do your own analysis before making any investment based on your own personal circumstances.
Good luck!
Good luck!