RE: SP trading
I'm still trying to figure this one out myself. Been in and out a few times and haven't really been hurt, but haven't really had much success either. Fundamentals of the company seem good but maybe corporate structure, location and lack of press are keeping it subdued. At this point I'm now sitting on the sidelines waiting for clear direction on the markets. Every time someone says "Europe" it seems like something gets whacked, and now with China joining in and the U.S. jobs market off, summer will be interesting.
The floor on this looks to be more in the 2.00 range. Lots of support points around that level. For technicals, momentum is slightly up and on the candlestick side of things there's an inverted hammer that suggests the possibility of a reversal, but it dropped through its 50-day on Friday and the MACD is pointing down (still), along with most other indicators.
There looks to be a really obvious symmetrical triangle forming off the high in early May. The lines will converge just under 2.20. All the shorter term moving averages look to be convergiing around 2.20 as well. The overall trend of CGA has been upward since Aug 2009, so the logical assumption is that it could be the launchpad for a new uptrend, but it is momentum that signals the direction so if momentum turns downwards it could go a long way before it finds support - maybe down to 1.50. For going up, lots of resistance points from 2.15 up to 2.35 and with the frustration that this stock seems to provide, probably lots of selling that will happen from people just wanting to get their money back. Trading ranges are going to be tighter until it breaks one way or another, and even then with the way the markets are going any uptrend is likely to be short-lived. But, the spring is getting tighter and tighter so the move looks to be coming soon.
JMHO on a sunny Saturday morning (at least it is where I live).
eebler