Technical analysis of Air Liquide

[Astyx]

I'm usually not a fan of technical analysis, because people often post nonsense. But here I saw someone who I find very convincing on the positioning of his ascending channel (given the number of ricochets that have taken place on his two bars), on the Boursorama forum, so I'm passing it on:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

If we believe in this bullish channel, it is really the time to position ourselves before the rise. The future will tell us if it is right or wrong, but I took a small ladle of stock at 91.96, because I am rather confident about the rise of the stock (which was already the largest line of my portfolio before this strengthening).

Note that the original author rather thinks that we have crossed the line and that we are going to fall (something that I do not believe... and in any case that I do not hope). As said, a fall is possible and the future will tell if I was wrong.

 

[Jerome]

Hi Astyx

 

I am always wary of technical analysis because the author always sees what he wants to see. We can find trends on several axes and over different time periods. In addition, it very often happens that the price passes through this axis briefly before going up or down. Finally, and perhaps especially in my case, we only talk about the price, which historically represents only 50% of stock market performance. We forget about dividends!

 

For me, Air Liquide still has a good profitability/risk ratio.

[Astyx]

Hi Jerome,

 

We completely agree on technical analysis: it is often nonsense and it is possible to show whatever we want with it. And in any case, we can use all the graphs we want, it generally has nothing to do with the reality of a society.

I just found the bullish channel of this analysis interesting, because there are 6 higher bounces and 8 lower ones… but that doesn't mean it will continue, we agree.

However, I wanted to put some money into AI, and I was waiting for the price to be a little lower than the recent records. With this graph, I think we have probably reached the bottom, and I decided to buy now. Maybe in a while the price will be even lower and I would have done better to wait a little… but you have to decide at some point. And in any case, I am like you; I am investing for the long term and so it should not make a colossal difference after a few years.

 

Otherwise, we agree on the qualities of Air Liquide, which is one of my favorites.

 

[Jerome]

And as they often say in the stock market:

– The trend is your ally

– Buy low and sell high

– You never catch a falling knife.

In short, all this contradicts itself, but it is all right and wrong at the same time...

[Author]

Posts