The Trend Reversal in Qualcomm

For those that are new to trading (or if you are not familiar) I thought I would discuss the Trend Reversal signal. To illustrate this I bring you a clean Daily chart in $QCOM to kick things off:

QCOM_BDip Buyers stepped in Wednesday and the price action formed an Inverted Hammer (this is a Trend Reversal signal). Let me point it out to you if you are not familiar:

QCOM_DNow I will change the lens and add a Horizontal Support line:

QCOM_CThis is extra Bullish to me because it avoided a full Breakout back-test to the $70 level – bouncing off $71 to form the Inverted Hammer. Follow through on Thursday and Friday (back over 50 SMA) means the signal is confirmed.

 

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