Painted Pony Pete Ltd PDPYF

RE RE Pony Looks Toppy

[Indicator]

My 2 cents . . .

Short term indicators:
RSI - Relative Strength is over 70 which signifies overbought
Stochastic is at top peak of cycle - which shows overbought

Yeas, short term indicators can be high for some time, but sooner or later they roll over.

First early signs of short term indicators rolling over were end of this week.
When they roll over in earnest, it means more sellers than buyers and we are pulling back.

If you look back at Pony's history, every time it gets above 70 RSI it pulls back.
Does this emphatically mean the run has ended - no - it means it will be harder to continue upward trend and a healthy pullback and then some consolidation is very likely.
Can fundamentals make this continue to push higher even amidst overbought indicators, yes, but with greater difficulty.

Summary: Pony has had a great run off the bottom and looks to be nearing a trading pullback. 

Large money will play the support and resistance levels. 
Support at $5.00 and some near $6.00
Resistance at $7.00 (around where we are now) and some significant resistance near $8.00

Good story here, but technicals suggest we're in for a breather soon.  If good fundamentals continue to dominate and support longer term strength, then $6.00 looks like a decent support over the summer.  If fundamentals or markets get spooked, then $5.00 is better bet.

Good luck