When I look at the TESCO chart I can’t help but be reminded of Gold:
a) A long period of relentless price gains
b) Several years during which a rough “descending triangle” pattern develops
c) A severe break to the downside, sharp enough to suggest fear in the market
I’m fond of many Warren Buffet quotes, including “be fearful when others are greedy and greedy when others are fearful”
The mainstream media has been giving Tesco a hard time lately and it begs the question – has all the bad news finally been priced in? Tesco shares are heading for an old area of support (160p) and I will be curious to see if there’s a significant bounce.
For the sake of Mike Ashley let’s hope so.
Owing to recent distractions I’ve not updated the blog for the last couple of days. There hasn’t been much to say about the FTSE in any event.
It is worth reiterating that the FTSE currently sits at a very interesting spot, right on the 200 day moving average:
But in terms of intra-day moves, neither Friday nor Monday generated much excitement: