October 22 Chart of the Day - Texas Instruments
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
Texas Instruments (TXN) sells chips that go into products in nearly every sector of the economy from autos and industrials to consumer electronics.
The company has more than 100,000 customers and reports earnings after market close on Tuesday so we wanted to review their chart from a price action technical analysis perspective.
We have featured over 300 Charts of the Day since May 2023 and teach Price Action Trading for FREE to traders who join our Highly Rated Trade Room.
Monthly Chart
On the monthly chart we can see that price recently reached un-chartered territory after breaking out above $200 just a short few months ago setting fresh new all time highs (ATHs).
Now, with little to no previous price history at these levels price is going through what we like to call a "discovery phase" to create new structure. As traders we're limited to estimating potential upside targets using only price action tools Trend and Fibonacci as shared for free in our Trading All Time Highs webinar replay.
Weekly Chart
On the weekly chart we can see where price broke above it's previous ATH before dropping back below it.
The market is implying about a $10.20 move in either direction as marked on the weekly chart by this Friday October 25th. Share price has risen during the week of earnings 5 of the last 8 quarters.
Could earnings be the catalyst that pushes price to its next higher high or will price continue fading?
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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