MTR => Mesa Royal Trust => Potential long term investment opp.Stock and Timeframe:
The chart is for "Mesa Royalty Trust (MTR)" on the 1-week (W) timeframe, which provides a long-term view of the stock's price movements.
Current Price:
The current price is shown as $8.20.
Trend Lines:
A downward yellow trend line is drawn, indicating a long-term downtrend. The price has broken above this trend line and seems to be retesting it as support.
Support and Resistance Levels:
Support Levels:
Around $8.20 (current price).
Around $7.75 (a lower support level if the current support fails).
Resistance Levels:
$19.87: This level is identified with a red horizontal line.
$35.34: Another significant resistance level marked with a red horizontal line higher up.
Price Targets and Potential Moves:
There are two significant potential price targets indicated:
First target: $19.87, with an expected gain of 156.26%.
Second target: $35.34, with an expected gain of 375.39%.
Annotations:
The chart mentions "retest," indicating that the price is currently retesting the previously broken trend line. This is a critical point to watch, as a successful retest could signal a continuation of the upward move.
Volume:
The volume bar indicates a significant increase in trading volume, which is a positive sign for the bullish trend, confirming the price movement's strength.
Summary:
Bullish Signs:
Break above the long-term downward trend line and retest.
Strong volume supporting the price movement.
Significant upside potential with targets at $19.87 and $35.34.
Watch Points:
Successful retest of the trend line is crucial. Failure could mean a return to lower support levels.
Resistance levels at $19.87 and $35.34 will be critical to watch for potential profit-taking or further bullish moves.
Strategy:
For long-term investors, this setup presents a potential buying opportunity with considerable upside.
For short-term traders, monitoring the retest and volume closely will be key to making informed decisions.
By keeping an eye on these critical levels and market behaviors, traders can make more informed decisions about their positions in Mesa Royalty Trust (MTR).
