This Himax Technologies (HIMX) stock chart review will focus on the rebound that its share price has seen over the last couple of months. Is the rebound finding ample support during its pullback? Is there a chance for a further pullback?

Hopefully the analysis will provide answers to those questions, and a few more….let’s get started!

Himax Technologies (HIMX) Stock Chart Review

This first chart in this Himax Technologies (HIMX) stock chart review is an update of what might be happening from an Elliott wave perspective. I consider Elliott wave analysis as the hardest technical method to master. However, even learning some basics and how to profit from those can provide very lucrative trading opportunities.

This chart is a 2 year weekly chart where an update on the “downtrend channel test” is illustrated and explained.

Based on the results of the downtrend test, HIMX’s share price appears poised[s2If !current_user_can(access_s2member_level1)]……

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I look at some pullback areas to begin building a position in the stock as well as some of its upside target prices, both short and long term.

If you are not a Trendy Stock Charts member, consider joining today! There are several different subscription plans available.[/s2If][s2If current_user_can(access_s2member_level1)] to continue its rebound. The MACD Histogram reflects medium-term buying momentum that is increasing. Increasing buying momentum leads to higher share prices.

HIMX – Overhead Resistance

This next 5 year monthly candlestick chart shows that HIMX’s share price has more room to run to the upside before finding significant resistance. The blue Fibonacci Extension Tool was used to calculate some upside price targets.

There are 3 price targets ares to monitor for the blue Fibonacci Extension Tool. The prices areas are the 61.8%, 100% and 161.8% Target Lines.

The first target line is the 61.8% Target Line, which just happens to intersect with the overhead trendline resistance. To get through this area, HIMX’s share price will need to see its MACD Histogram reflect a continued decrease in its selling momentum. It would be even more bullish if HIMX starts to show long-term buying momentum on its MACD Histogram.

I anticipate HIMX will have some sort of “news event” as its share price approaches the resistance. The “news event” will be used to spur increased buying and break through the overhead resistance area.

Regardless or not of the news event, if HIMX’s share price does break through the overhead trendline resistance on buying volume that is higher than the average trading volume, that is the signal for the 100% and 161.8% Target Lines to become the next upside price targets.

HIMX – Moving Averages

This next chart is a 1 year daily candlestick chart to analyze HIMX’s share price movements from a shorter-term perspective. I used moving averages, trendlines and Fibonacci Extension Tools. Let’s see how this shorter-term perspective fits in with the other results determined above.

If HIMX continues to rebound from the 50 Day moving average, its price objective seem to be where the overhead resistance trendline and the 2 different 100% Target Lines from the Fibonacci Extension Tools all intersect, somewhere in the target range of $9.35 – $9.72 which I would anticipate is within the next 2 weeks.

Maybe there is even a chance that HIMX’s share price pushes up to the bottom of the Falling Window candlestick pattern’s resistance area around the $10 price level. Maybe HIMX even “closes the window” during the current uptrend. “Closing the window” is the equivalent of closing a previous gap. Monitor HIMX’s buying volume on its daily chart over the next week. If it continues its trend of increasing buying volume, the better the chances for these price targets.

While reaching the resistance area from the Falling Window candlestick pattern is not as probable as reaching the $9.35 – $9.72 range, it is still possible. For the time being though, focus on the trade up to the $9.72 area and then see how it unfolds. Ask a question in the Idea Chamber when HIMX’s share price approaches this target range.

HIMX – P&F Chart

This last chart is a P&F Chart. It’s always good to note how the P&F Chart fits into your analysis and if its price objectives fall in line with your own price objectives calculated above. This is a P&F Chart that is based on closing share prices for HIMX.

To be honest, the bearish price objective of $0 kind of caught me off-guard. I mean I’ve never seen a P&F Chart with a $0 price objective before.

When I switched over the the P&F Chart based on “intra-day” share prices instead of “closing” share prices, the results were the same. The bearish objective on the intra-day P&F Chart was also $0.

In my very first update for Himax Technologies (HIMX), I talked about the possibility of a push towards the $3.28 area. The article can be quickly accessed here:

“2/5/2017 – Himax Technologies (HIMX) Stock Chart Analysis”

Is the P&F Chart indicating something that investors and traders need to be aware of? Could it be indicating a re-test of its previous low of $.97 that it reached back in October 2011? Those are at least questions to think about because of the contradictory price objectives on both the closing and intra-day P&F Charts.

Himax Technologies (HIMX) Stock Chart Review – Summary

Let’s summarize this Himax Technologies (HIMX) stock chart review. HIMX has a couple of bullish indicators that suggest a rebound is underway with one exception – the P&F Charts. The one exception is a stark warning.

As long as HIMX’s share price finds support at the $6.50 area or above during its next pullback, use that pullback as a scale-in opportunity to purchase shares. That might even be a second scale-in purchase if an initial one is made at current prices to try and trade HIMX to some upside price targets.

While I discuss the $9.35 – $9.72 as the most probable upside price targets, the $11 price area looks very possible as well. Any hint of good news for HIMX and its share price should continue its ascent. For any possibility of reaching the $11 price level, HIMX’s share price will need to start by busting through the overhead resistance around the $9.35 price level on above average buying volume. The less the buying volume, the lower your expectations should be for the current upside price target.

If you do enter into the HIMX trade, just be careful of the first significant drop on heavy volume. Even drop by the Idea Chamber and ask a question. Because if by any chance HIMX’s share price drops through the $6.50 area on above average selling volume, it could get ugly fast for its share price. That is why it is so imperative that HIMX holds the $6.50 support during any subsequent pullback. Anything less and patience for an entry or re-entry will be required.

Good luck trading!

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