BKR & ED: Keep an eye for multiyear breakout

Aug 1

Baker Hughes Company

• The stock was earlier caught in a prolonged consolidation phase, during which it established an Inverted Head & Shoulder pattern.
  
• After the breakout, the price experienced a sharp rise but underwent a correction following the formation of a Double Bottom pattern.
  
• Subsequently, the stock entered another period of consolidation, gradually trending upwards.
  
• During this time, an Ascending Triangle pattern formed, and the price has recently achieved a successful breakout.
  
• If it maintains its position above the breakout level, the uptrend is expected to persist.
  

Consolidated Edison

• In the weekly chart, the price initially moved downwards and created a Falling Wedge pattern.
  
• Typically, when this pattern emerges, the price surges higher following the breakout.
  
• In this case, the price indeed soared to its record high around the 102 mark post-breakout.
  
• However, the stock couldn't sustain the upward momentum and swiftly dropped from the all-time peak.
  
• Subsequently, a consolidation phase began, with the price consistently finding support at the 200 EMA.
  
• At present, the price is poised for a breakout, potentially leading to an upward rally upon confirmation.