Published on 22 Jan 2024 on Zacks via Yahoo Finance
MONDI PLC UNS (MONDY) Forms 'Hammer Chart Pattern': Time for Bottom Fishing?
The price trend for MONDI PLC UNS (MONDY) has been bearish lately and the stock has lost 7.5% over the past two weeks. However, the formation of a hammer chart pattern in its last trading session indicates that the stock could witness a trend reversal soon, as bulls might have gained significant control over the price to help it find support.
While the formation of a hammer pattern is a technical indication of nearing a bottom with potential exhaustion of selling pressure, rising optimism among Wall Street analysts about the future earnings of this company is a solid fundamental factor that enhances the prospects of a trend reversal for the stock.
Understanding Hammer Chart and the Technique to Trade It