Shares of Hewlett-Packard Co., the American information technology giant, are trading at 29.66.

On the daily chart, the price is correcting above the resistance line of the recent downward corridor with dynamic boundaries of 26.00–29.00.

On the four-hour chart, the quotes decline to the resistance level of 28.00 to test it back before reversing and subsequent growth, and if the asset consolidates above the local high of 30.50, upward dynamics will develop.

Technical indicators are weakening the buy signal: fast EMA on the Alligator indicator are heading towards the signal line, and the AO histogram is forming corrective bars, approaching the transition level.

Trading tips

Short positions may be opened after the price declines and consolidates below 29.20, with the target at 27.80. Stop loss – 30.00. Implementation period: 7 days or more.

Long positions may be opened after the price rises and consolidates above 30.20, with the target at 32.20. Stop loss – 29.00.