REDD – Redde – Interesting chart consolidations

Apropos of nothing in particular, I thought I’d take a look at the chart for REDD (Redde):

bitmap

It’s interesting to see how REDD has periods of consolidation, which I have marked in blue. Arguably, I could have added additional ones. Notice how periods of consolidation often preceed bursts in the share price.

The first box is a little contrary to all the others in that its direction of breakout (downwards) is in the opposite of the trend that later prevailed. So no system is perfect.

The bursts after a breakout have been quite dramatic, and we have experienced one recently. It’s near the top of its rising channel at the moment, so now might not be an ideal time to buy.

REDD has a StockRank of 97, with a Value rank of 59, Quality of 94 (although maybe that’s optimistic) and a Momentum score of 92 (which shouldn’t be much of a surprise). It has a PE of 18.9, which of course is not in the bargain bucket. The yield is 5.29%, which is attractive.

IF the growth can continue, rather than, say, crash and burn, then the shares could go higher.

FWIW, I own shares in REDD, and needless to say, they have been a good little earner for me. I am a bit top-heavy in them, though.

170p

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About mcturra2000

Computer programmer living in Scotland.
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