GREY:ENGFF - Post by User
Post by
zetaon Jul 23, 2008 7:47pm
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Post# 15323319
TA AND CHART FOR THURSDAY
TA AND CHART FOR THURSDAYHi -- Well, not exactly the type of day we were hoping for, but generally, not bad. After bouncing off support at 1.55, ENG has held fairly well on or above the 20 ema -- you will recall, that stocks trading above the 20 ema are in uptrends and this is a good sign for ENG. I think the stock is in a holding pattern in this range, but could breakout any day to higher levels. It is usually at this point that most traders get fed up and finally sell the stock -- just before it takes off to new highs. I also like the way the volume is declining each day - this means that the float is moving into friendly hands - shareholders who know the score and are prepared to ride out minor fluctuations. In this type of pattern, the market maker just sits back and takes stock as it comes to his price-- his main concern is to clean up the float so that any upward move will not be held back by sellers - I think ENG has a very clean float at this time and could easily move to the 2.25 to 2.50 level with a little serious buying. So -- although that is a bearish black candle today, it is all just part of the holding pattern in that $1.80 to $2 trading range and not to be considered as a bearish breakdown of support. ENG looks just fine tonight . Here is the daily chart for ENG. Good luck with this one. Zeta
