TEXRAIL has recently exhibited a notable technical development on the daily chart. On Friday, 16 May, the stock completed a breakout from an inverted head and shoulders pattern, a formation often associated with potential trend reversals. The breakout occurred with a decisive close above the neckline, which had previously acted as a key level of resistance and had been tested multiple times, reinforcing its technical significance.
Following the breakout, the price action has respected the neckline as a new support level, with multiple successful retests and rebounds observed. As of today’s session, TEXRAIL has once again rebounded from a brief consolidation phase, accompanied by a substantial increase in trading volume—approximately 18M shares, significantly above its recent average. This surge in volume may indicate renewed interest and participation from market participants.
Momentum indicators are also aligning with the bullish structure. The Relative Strength Index (RSI) is currently approaching the 70 level, suggesting strong upward momentum, though it is nearing overbought territory. Additionally, the MACD histogram is showing signs of potential short-term consolidation or profit-taking, particularly as the price approaches a previously identified supply zone.
Looking ahead, the chart outlines three potential resistance levels that may act as intermediate targets or areas of interest for traders monitoring the trend. These levels are derived from historical price action and volume profile analysis.
📊 Please refer to the accompanying chart for a visual breakdown of the pattern, volume dynamics, and resistance zones.
Disclaimer:
The information provided in this analysis is intended solely for educational and informational purposes. It does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Always conduct your own research or consult with a qualified financial advisor before making any investment decisions.
Following the breakout, the price action has respected the neckline as a new support level, with multiple successful retests and rebounds observed. As of today’s session, TEXRAIL has once again rebounded from a brief consolidation phase, accompanied by a substantial increase in trading volume—approximately 18M shares, significantly above its recent average. This surge in volume may indicate renewed interest and participation from market participants.
Momentum indicators are also aligning with the bullish structure. The Relative Strength Index (RSI) is currently approaching the 70 level, suggesting strong upward momentum, though it is nearing overbought territory. Additionally, the MACD histogram is showing signs of potential short-term consolidation or profit-taking, particularly as the price approaches a previously identified supply zone.
Looking ahead, the chart outlines three potential resistance levels that may act as intermediate targets or areas of interest for traders monitoring the trend. These levels are derived from historical price action and volume profile analysis.
📊 Please refer to the accompanying chart for a visual breakdown of the pattern, volume dynamics, and resistance zones.
Disclaimer:
The information provided in this analysis is intended solely for educational and informational purposes. It does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Always conduct your own research or consult with a qualified financial advisor before making any investment decisions.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.