Closing price reversal

Closing price reversal

Is a technical pattern that signals a change in trend. When supply is greater than demand for securities, price falls to find adequate demand. When the demand below a previous close is significant enough to bring prices to close above the previous close. A CPR or closing price reversal has occurred. The closing price has reversed its trend. In this case from down it up.

The reverse is true at a top. Prices go to a new high above the previous days close. The buying pressure is not strong enough to keep it up there, so prices close lower than before.

Close (adj.) 14c., "strictly confined," also "secret," "confined; concealed, secret; taciturn" (12c.),stop up, fasten, shut, main sense shifting to "near" (late 15c.) by way of "closing the gap between two things." [1]

Price 13c, "price, value, wages, reward," The verb meaning "to set the price of" is attested from late 14c. Price-tag is recorded from 1881. [2]

Sumflow 20:53, April 1, 2011 (PDT)

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki