I'm no chartist or technical analyst specialist but as @Veritas2000 said, they can definitely be useful. For the past six months you can see in the RRL chart there has been strong bearish sentiment which has placed a lot of downward pressure on the sp from $3 to where it is today.
Most of the goldies have been smacked around a bit lately, even those with relatively strong balance sheets. However a chart as bearish as this suggests that there are one or more aspects of the business that investors are questioning. This could be (examples only) due to doubts about a business being able to sustain it's current cashflows into the future, longevity of it's assets, rising costs, falling dividends or a questionable acquisition/transaction.
If I saw a chart such as this but knew nothing about the respective company, I'd definitely start by digging a little deeper to try and understand the situation a little more.
I'm not brave enough to call the bottom here, I'll leave that up to others :-/
I'm no chartist or technical analyst specialist but as...
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Last
$2.63 |
Change
-0.020(0.75%) |
Mkt cap ! $1.986B | |||
| Open | High | Low | Value | Volume |
| $2.66 | $2.66 | $2.61 | $7.988M | 3.043M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 5 | 11735 | $2.62 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $2.63 | 9928 | 1 |
View Market Depth
| Last trade - 16.10pm 05/11/2024 (20 minute delay) ? |
| RRL (ASX) Chart |