AT&T (T) is a long-time household name that's synonymous with telephones and communications. The charts of T have not fared so well in recent years. Let's see what is going on now ahead of their earnings numbers next week on January 25th.
In this daily bar chart of T, below, I can see a top pattern in May/June/July followed by a decline into October. Prices rebounded into November but have made another potential top pattern in December and January. Prices are testing the 50-day and 200-day moving average lines.
The daily On-Balance-Volume (OBV) has moved up from a low in October but has "rolled over" in recent weeks. The Moving Average Convergence Divergence (MACD) oscillator has just made a lower high when prices made a slightly higher high - creating a bearish divergence.
In this weekly Japanese candlestick chart of T, below, I can see a longer-term downward trend going back the past three years. Prices are trading above the 40-week moving average line but the weekly OBV line is bearish and the MACD oscillator is struggling to cross the zero line.
In this daily Point and Figure chart of T, below, the software projects an upside price target in the $23 area but the chart also identifies some overhead resistance.
In this weekly Point and Figure chart of T, below, I see a very similar price target as the daily chart above.
Bottom line strategy: I have no special knowledge of what T will report to shareholders and analysts next week but the charts and indicators are not particularly positive. Keep your powder dry.
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