April 14 Chart of the Day - Johnson Controls
Highly precise price action technical analysis offers the strongest trading edges and the most opportunities across the markets, making it the foundation of our reviews.
Johnson Controls (JCI) continues to make headlines on a regular basis for a range of reasons, including the spinoff of a major division, shifts in analyst ratings, and notable options activity. Given the ongoing attention, we wanted to take a closer look at their chart through the lens of technical analysis.
With that in mind, let’s examine where price action could be headed from here, in both directions.
Consistent profitable investing and/or trading requires a structured, rules-based approach to price action analysis. Proven processes, disciplined risk-reward management, and precise execution create the foundation for long-term success.
When combined with powerful mental performance strategies, this method becomes the ultimate blueprint for thriving in any market, on any time frame.
As requested, this analysis will take a price action technical analysis approach to assess key levels and potential next price moves for this chart.
Since May 2023, we've showcased over 475+ Charts of the Day and provide FREE Price Action Trading education to traders who join our highly rated Trade Room.
Monthly Chart
Testing Support After a Major Breakout
Over the past 24 months, the monthly chart of Johnson Controls tells a compelling story. The stock began with a strong recovery, surged to new highs above $90, and has since reversed course with a noticeable pullback. This retreat has captured the attention of both traders and investors who are now closely watching key support levels.
Following the peak, Johnson Controls has given back a significant portion of its gains and is trading well below its recent highs. Volatility has increased, and analyst sentiment has turned more cautious, with some firms lowering their price targets. The technical indicators are beginning to show signs of fading momentum, raising concerns about the possibility of a deeper correction.
This evolving price action serves as a reminder that a careful and informed approach is essential when assessing the short to medium term outlook for Johnson Controls.
Weekly Chart
On the weekly chart, we can see where the stock reached its all-time high before pulling back sharply over the past several weeks.
In fact, the price moved through what many viewed as important support levels with unexpected ease, but it now appears to have found some stability around the 70 dollar mark and is beginning to make another attempt at moving higher.
Why does a stock often pull back soon after reaching an all-time high?
There are several possible reasons, one of which is that traders and investors may be locking in profits after a strong run, leading to a wave of selling that temporarily pressures the price.
Regardless, it's clear to see that for more than fifteen years price has been making a series of higher highs and higher lows /aka/ an uptrend.
It goes without saying though, the only guarantee in the markets is that price cycles. It cycles up and it cycles down across all time frames and all charts and rarely, if ever, moves in a straight line.
Only time will tell for sure what price will do next...
We’ve combined advanced Fibonacci levels with key support/resistance zones and trend analysis to pinpoint potential price levels of interest and future targets.
With precision-focused charts like these, both traders and investors can confidently build and execute their strategies.
So what's next?
We don't make predictions...
Nobody knows for sure but using these 5 price action tools traders and investors can develop levels of interest in both directions.
- Support/Resistance
- Trend
- Fibonacci
- Supply/Demand Zones
- Change Control Zones
ChartPros provides the exact methodology in its price action technical analysis courses to create charts like this with the most precise and accurate levels from which investors and traders can formulate their respective trade plans.
Take a look at the charts and let us know what you think. We'd like to hear from you in the comments sections.
Because You Were Interested in today's FREE Chart of the Day...
You may also be interested in these other FREE resources!
- Struggling with Market Uncertainty? Here’s How to Trade with Clarity & Confidence with ChartPros NeuroTrading
- Free Guide: 6 Fibonacci Types that Create the Most Precise Price Targets and Reversal Zones
