March 4 Chart of the Day - TD Bank
Precision oriented price action technical analysis by far provides the best edges and most setups for traders and investors across the markets so that's what we use for the basis of our reviews
Toronto-Dominion Bank (TD), doing business as TD Bank Group, is a Canadian multinational banking and financial services corporation headquartered in Toronto, Ontario.
While some analysts have recently raised their price targets for the company, a look at the chart made us question if it’s justified. Today, we’ll analyze the chart using price action technical analysis to identify key levels of interest and assess its future potential.
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Monthly Chart
On the monthly chart we can see that after setting its $86.02 all time high (ATH) back in 2022 price has consistently made a series of lower lows and lower highs.
Price recently tested a long term previous support level in the $53 area and seemingly is attempting to change the down trend.
Weekly Chart
On the weekly chart we can see where price set its ATH before steadily dropping back down the past few years.
Why then when a company makes ATHs can price quickly drop back down?
For a variety of reasons including maybe this was a case of traders and investors taking some profits off the table.
Regardless, it's clear to see that since 2020 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 layered in traditional Fibonacci levels as well as support/resistance and trend to help identify potential price levels of interest and/or future price targets.
Armed with precision oriented charts like these both traders and investors can formulate their respective plans.
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.
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i think i would go down to a daily of 4 hour chart and short at the close below that last bull bar on the 4 hour then be ready to trim at fib levels possibly and then let one possibly run for long term or at least lower support. hopefully i don’t sound like a complete idiot!