Petrofac charts
Posted: July 9th, 2018, 6:09 pm
I was looking at this article before, which contains a detailed anaysis of the PFC share price movement from a chartist's perspective - https://www.ii.co.uk/analysis-commentar ... -ii506401/
It all sounds to me like pseudo-scientific codswallop! In fact, so incomprehensible are his comments - The dip off the blue trendline is a three-down (corrective) to the Fib 50% support on a momentum divergence - that I'm not even sure whether he's recommending a purchase or not.
As I understand it (which admittedly I don't) chartism is an attempt to predict future price movements by watching trends in the SP. However, no chartist can possibly predict something like the SFO enquiry. Neither do chartists, so far as I know, factor in a prediction for the price of oil, which is of critical importance to the PFC share price. I therefore can't see what possible credibility they can have.
But it's clear that a lot of people do take them seriously, so have any Fools tried using chartism, and if so with what degree of success?
Incidentally, I know that there's a Technical Analysis board, but I've deliberately avoided posting there as by definition the only people who visit it are likely to be believers, and I'm looking for input from atheists and/or or agnostics as well.
More generally, I did very well with some PFC trades recently, and I've been waiting for the SP to drop back further before having another dabble. In the absence of some bad news I can't see it dropping back much below the 520 mark, but I'd be interested to know what others think.
It all sounds to me like pseudo-scientific codswallop! In fact, so incomprehensible are his comments - The dip off the blue trendline is a three-down (corrective) to the Fib 50% support on a momentum divergence - that I'm not even sure whether he's recommending a purchase or not.
As I understand it (which admittedly I don't) chartism is an attempt to predict future price movements by watching trends in the SP. However, no chartist can possibly predict something like the SFO enquiry. Neither do chartists, so far as I know, factor in a prediction for the price of oil, which is of critical importance to the PFC share price. I therefore can't see what possible credibility they can have.
But it's clear that a lot of people do take them seriously, so have any Fools tried using chartism, and if so with what degree of success?
Incidentally, I know that there's a Technical Analysis board, but I've deliberately avoided posting there as by definition the only people who visit it are likely to be believers, and I'm looking for input from atheists and/or or agnostics as well.
More generally, I did very well with some PFC trades recently, and I've been waiting for the SP to drop back further before having another dabble. In the absence of some bad news I can't see it dropping back much below the 520 mark, but I'd be interested to know what others think.