While it is the case that someone who is a technical analyst for a living will have to be focused on the difficult plays in terms of popular stocks which might not necessarily be easy to read, the idea scenario for those who can choose which market to analyse / invest in would be only to go with those situations where the trend is as robust as possible. In the case of Adept Telecom (LSE:ADT) we see a mature bull run, one which has been in place for the best part of three years. In addition, to the way it is possible to draw a rising trend channel since the latter part of 2013, it can also be seen how the predominant pattern has been of new support coming in at or above former resistance.
This kind of charting configuration which is only seen in the strongest of situation, with the message currently being that Adept Telecom appears to be of such a rank. In terms of what may happen next it can be said that we are seeing a positive consolidation either side of the former 2013 peak at 156p, with the likelihood being that there will be enough ongoing momentum for the stock to clear this barrier over the course of the next few weeks. The view currently is that at least while there is no weekly close back below the former November resistance / 50 day moving average at 142p the upside for Adept Telecom over the next 3-4 months is seen as being as great as the 2013 price channel top at 200p plus.