United Breweries Stock Prices were trading in a Uptrend since from April 2021. When we measure the entire trend, the prices have rallied all the way from 1080 to 1499, which is almost 40% rally in the stock prices. This type of trend can also be considered as a Mark-up Phase, as per the notes of Richard Wyckoff.
UNITED BREWERIES LTD. PRICE ACTION ANALYSIS ON 4H CHART
But now, it looks like this particular Uptrend is challenged by Sellers. If you notice the last 2 to 3 Candlesticks, we can clearly recognize a strong Selling Pressure in the Stock. Along with that we can also witness some huge increase in the trading volume, which indicates more trading activity and Big Orderflow in the Stock Prices.
Based on these Observations in Price Action and Volume, its looks like Big Players are engaging in the United Breweries Stock. It could also mean some insider trades are taking place behind the scenes.
As per my perspective, Stock Prices could likely tumble from here onwards. There’s a good chance of a possible trend reversal in the Stock. On the other hand, if we see any surprises or Positive news, Prices could shoot up and lead to further trend continuation.
From my Judgement, I feel like there’s a 57% Chance / Probability that United Breweries stock prices might continue to tumble. On the other hand, in case of any surprises, there’s a 43% Chance/Probability that stock prices might continue to move upside. Keep an eye on the Price Action and take trades according to prevailing market sentiment.
