SIACharts Logo

Commentary >

TransAlta Corp. - (TA.TO) - June 8, 2023

Electric power producer TransAlta Corp. (TA.TO) has been climbing back up the rankings in the SIA S&P/TSX Index Report since April. A nine-month stay in the red zone ended in May, and TA.TO has reached the top of the Yellow Neutral Zone, one position outside of the green zone where it has not been since August. After climbing 11 spots yesterday and 71 places in the last month, TransAlta currently sits in 59th position.

A major breakout is underway in TransAlta (TA.TO) shares. The recent breakout over $13.00 has completed a classic bullish “W” shaped bottom pattern. Accumulation started back in March when the shares successfully retested their July lows, and this breakout confirms that a new recovery trend has commenced.

Initial upside resistance appears at the July 2022 peak near $15.00, followed by $15.50 and $18.00 which are based on measured moves. Initial support appears near $12.80.

Back in March, TransAlta (TA.TO) successfully retested support near $10.60, ending an eight-month downtrend. Since then, the shares have been consistently recovering, completing a bullish Double Top and two bullish Spread Double Top breakouts without even a 3-box correction along the way.

Currently trading at the highest level since last summer, next potential resistance for TransAlta appears at the July peak near $14.85, followed by $15.45 and $18.45 which are based on horizontal counts. Initial support appears near $12.40 based on a 3-box reversal.

With its bullish SMAX score increasing to 8, TA.TO is exhibiting strength against the asset classes.

Disclaimer: SIACharts Inc. specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investors investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIACharts Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.

Related Posts

Keep up to date on the latest financial market news.

Receive a daily newsletter with stock highlights, ETF rankings, weekly market focus and others.