Last chanceIn this posting I'll try to give a short technical analysis of BVG because in my opinion it's one of the last chances to get into this stock at such a low level.
This should be also be a short lesson for the german Wallstreet-Online Kindergarden thread ;-))
In the following link ( ->
Bravo chart ) I'm describing some location points and you guys will see whats going on at the moment.
To get a good overview about such an illiquido like BVG, you have to switch into the monthly chart.
Look especially at the SMA20(the middle line of the Bollingers) - good traders need only this line and eventually the SMA8 to perform there trades.
This line is always the root for major decision points. When you look into the history the big moves are starting at the SMA20 and also are ending there.
The outside lines of the Bollingers are also very often the end of a move (deviation resistance). Not coincidentally
the last move ended at the upper bollinger band, because the market had still to much down pressure and therefore BVG got sold off again.
... but only down to the SMA20.
Also the volume is very interesting. Here you can see when smart money went into BVG. October last year was the first footprint of some institutionals. Since May this year the volume is constantly increasing.
In October this year also a major footprint happened in form of a narrow bar with a high volume. Institutionals are
buying in into falling prices!!!! ... at the right time !!!!
The initial sign that BVG takes off should be a single or double bar retracement (something like a green hammer or an bullish engulfing) at the monthly SMA20, as I have drawn at the right side of the chart.
If this happens, I personally will double up my position (and this are going to be no peanuts). In my opinion BVG is short before a major break out.
The management is not stupid. They know how to read charts and they also know that each stock has to deal with some laws of the chart and they are placing news according to location points of the chart.
e.g. the Woewodski news of Aug 06 came exactly at the monthly SMA20!!! ... think why!?
And therefore I'me quite sure, that also the next months will be full of good news and BVG will trade quite a bit higher than now.
This is no recommentation, I only try to clean your eye glasses ;-)