Thursday, October 9, 2008

PHILIPPINE STOCKS: MWC (MANILA WATER COMPANY, INC.) 10-9-2008


A breakout from a symmetrical triangle pattern is more likely to happen if the said pattern is coming from an uptrend and if it is coming from a downtrend it is more likely to go down as explained by technical analysis. From my last post about MWC, it had been true that it was forming a symmetrical triangle (pointed out by the red diagonal lines in the picture) and I was bullish because it came from an uptrend (from 2006-2008) however it went down. This situation doesn't happen often but in the case of MWC it did as a result of the terrible condition of the global markets. Click image to enlarge!

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