Goldcorp Inc. engages in the acquisition, development, exploration, and operation of precious metal properties. It primarily explores gold, silver, copper, lead, and zinc. The company's principal mining properties include Red Lake, Porcupine, and Musselwhite gold mines in Canada; Peñasquito gold/silver/lead/zinc mine, and Los Filos and El Sauzal gold mines in Mexico; Marlin gold/silver mine in Guatemala; Alumbrera gold/copper mine in Argentina; and Marigold and Wharf gold mines in the United States. Goldcorp Inc. was founded in 1954 and is headquartered in Vancouver, Canada.
Please take a look at the 1-year chart of GG (Goldcorp, Inc.) below with my added notations:
After trending lower for most of the year, GG has formed what appears to be a Double Bottom (red) price pattern. The pattern is as simple as it sounds: Bottoming, rallying up to a point, selling back off to a similar bottom, and then rallying back up again. As with any price pattern, a confirmation of the pattern is needed. GG would confirm the pattern by breaking up through the $41 resistance (navy) that has been created by the Double Bottom pattern.
Keep in mind that simple is usually better. Had I never pointed out the Double Bottom pattern, one would still think this stock is moving higher if it simply broke through the $41 resistance level. In short, whether you noticed the pattern or not, the trade would still be the same: On the break above the key $41 level.
The Tale of the Tape: GG seems to have formed a Double Bottom price pattern. A long trade could be entered on a break above the $41 resistance with a stop placed under that level.
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