Stock of the day: AIG

Amidst the general market flux, one instrument that stands out with bullish fervor on the American stock market is AIG. What’s been truly captivating for traders and analysts is its upward trajectory in September, especially when juxtaposed with broader market indices that are sliding.

Technically, the price evolution of AIG has been a sequence of intriguing patterns. Initially, the price was ensconced within a large wedge, demarcated by blue lines, which culminated with a breakout to the downside. This movement was soon followed by the formation of a flag, delineated by green lines. Traditionally, such flags tend to culminate with a downswing. Yet, in a surprising turn, AIG’s price surged through the flag’s upper boundary and trended upwards.

This action of “denied bearish chance” holds significant importance in market analysis. Essentially, if a price, against anticipations, refrains from declining, it often indicates a potential upward trajectory. This very phenomenon is evident in AIG’s recent moves.

The icing on the cake for bullish traders is the latest price shift above a crucial red downtrend line. In the realm of technical analysis, such a breakout – especially when it’s above a dominant trend line – can be a strong buying signal. Consequently, the present sentiment surrounding AIG tilts positive, making it one of the market’s must-watch stocks.

Source: https://www.axiory.com/analytics/stock-of-the-day/stock-of-the-day-aig