February 8 Chart of the Day - Penske Automotive Group
Precision oriented price action technical analysis by far provides the best edges and most setups for traders across the markets so that's what we use for the basis of our reviews.
Penske Automotive Group, Inc. (PAG) like many other companies reported earnings yesterday that provided a mixed financial performance for the fourth quarter and full year of 2023.
But unlike many other companies Penske is not trading at or near all time highs (ATH) nor is it creating splashy headlines so we wanted to take a look.
On the monthly chart we can clearly see two sided price action within an upward channel. Trading around $148 earlier today price is well off its $180.84 ATH set last summer.
In fact, we can see price making a series of lower highs and lower lows since then and could possibly have it sights on setting another lower low.
Down on the weekly chart we can see the defined movements within a bear Fibonacci and a bull Fibonacci creating a wedge as identified by the light gray trend lines.
Despite normal market price cycling price is essentially in the same place it was about four months ago.
As time moves forward price seemingly has an upcoming decision to make about whether or not it breaks out of the wedge and which way if it does...
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
Take a look at the charts and let us know what you think.
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