Technicals | Apr 23 2010
This story features WESTPAC BANKING CORPORATION. For more info SHARE ANALYSIS: WBC
The company is included in ASX20, ASX50, ASX100, ASX200, ASX300 and ALL-ORDS
By Rudi Filapek-Vandyck
The fact that share prices of major banks in Australia moved beyond consensus price targets this week did not only catch my attention, the TechWizard was watching closely as well.
Looking at his price chart for Westpac ((WBC)) the Wizard observes the share price is developing a megaphone topping out pattern. This, he explains, is usually considered a very bearish signal. It usually follows that the share price breaks out to the downside in an aggressive manner.
The TechWizard thus sees his prediction once again confirmed that equity markets are at the early phase of what will prove to be a more sizeable correction than what we've witnessed this week.
He reports the technical pattern as described above in combination with Westpac shares moving beyond their consensus price target this week probably serves as a timely warning to share market investors the time for a breather has now arrived.
The Wizard reports he at present does not own shares in the company.
The TechWizard is the pseudonym of Scott Morrison, whose experience in financial markets exceeds twenty years. Morrison operates his own website nowadays at www.techwizard.com.au
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For more info SHARE ANALYSIS: WBC - WESTPAC BANKING CORPORATION
