Beautiful inverted head and shoulders here..
This is a technical trade, setup looks good with volume supporting to the patterns validity. Safe play is entering upon a break of neckline, or on an s/r flip above the neckline
Distance from neck to head is roughly 20%, putting our target in the low 50's. To the right, there is a conveniently situated VPVR gap...
AIG looks to be following the depicted Channel as shown by the upward diagonal white lines. The Downward red diagonal line is the longer term resistance for price to breakout of or be pushed back down.
The RSI on the one hour chart is moving to the oversold area and the SMII is also pointing upward, indicating that price for the short term will continue a move...
In the last 4-5 bars, AIG attracted very few buy power.
My quant model predicts
Profitability: it has a high probability(80%) to drop below this level (38.75).
Worst Case: it could rise to $41.99
Money Management: Bet no more than 35% of the capital
Suggested Strategy: short stock for 5 Days
AIG on Friday hit a 3 month low after weeks of a downward trend. This gave way to traders today on Monday to take a good long position for a possible upward trend.
Exit : $52.55
Return 1.2% return
Long @ $55.72
- P/B ratio of 0.76 compared to the industry P/B ratio of 1.31 showing that the stock is significantly undervalued.
- Market cap - $51.05B
- DIV yield – 2.26%
- Debt to equity – 0.48
- VWAP - 55.77
- Beta – 1.23
- Short interest - 17,678,471
- YTD shares are down 5.6% compared with the industries growth of 5%. There is considerable analyst...