Despite trailing Mr. Market by a couple of points so far in 2012, Brazilian banking stock Banco Bradesco (BBD) is looking more bullish-biased right now. That's thanks to an inverse head and shoulder setup that's currently forming in shares.
An inverse head-and-shoulders setup is a pattern that indicates exhaustion among sellers. This pattern has been forming since the middle of July, when shares started forming their left shoulder. More recently, this stock has been consolidating sideways, holding off on the breakout above BBD's neckline level that would constitute a buy signal in shares. Even so, the neckline is still the price level to watch for a breakout in BBD.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV