Carl Icahn Buys 6% Stake In Talisman Energy (NYSE:TLM) - Should You Buy?

This morning as I was looking over the news, I read with interest that Carl Icahn had taken a 6% stake in Talisman Energy Inc (NYSE:TLM). Talisman Energy is a large Canadian energy company.

On October 1st, the Trade Triangles flashed a major buy signal for Talisman Energy at $11.95. I suspect that this was partly due to the price action that was reflected by Mr. Ichan's purchase of Talisman shares.

1.All Time High. (2) 12 Month Base. (3) +(4) Double Bottom. (5) Trade Triangle Buy at $11.95.

(6) Major Pivot Point. (7) 50% Fib Retracement $17.41. (8) 61.8% Fib Retracement $19.21.

What is also interesting is how Mr. Icahn picks stocks like Talisman Energy. I have witnessed the same actions in play in several other stocks that Mr. Icahn has purchased in the past 12 months. Stocks like Apple, Netflix, Herbalife, and most recently, Talisman, all display similar characteristics. I suspect that the technicals play a part in his overall approach to the market. The timing of Mr. Icahn's stock purchases are amazingly close to the timing of our Trade Triangle buy signals.

Today, we are looking at a chart of Talisman Energy and the stock action looks good from a technical viewpoint, as well as from our Trade Triangles. The potential for this market to go significantly higher is there, in my opinion. Of course, I will be using our Trade Triangles for money management to exit this position, should it not work out the way I expect it to.

As always, please share your thoughts with us on this or any other market.

Adam Hewison
Co-Creator, MarketClub

2 thoughts on “Carl Icahn Buys 6% Stake In Talisman Energy (NYSE:TLM) - Should You Buy?

  1. That is pretty darn close to the monthly TT! When I had my trial I looked at charts with the monthly TTs only, omitting the weekly TTs, and saw the same long trends. Do u recommend trading stocks this way, Adam?

  2. Before making a decision to buy this stock I would like to get more information about the balance sheet and income statement of the company, especially the quarterly data!

Comments are closed.