RE: Looking good againHmm... Not sure why that didn't post properly... Let's try again.
Another that has been good to me in the past and I see no reason to ignore them if they come back looking good again. This time its not a chart pattern that's getting me excited about it, its the fact that it has not broken my original trend line and has bounced twice from it in the past. Today's candle is really a Hanging Man (red body) but can also be considered a Hammer which the a bullish reversal candle. And with today's volume, I would have to think its more of a hammer than a hanging man and could indicate the start of a bounce. You can read more about them here.
One thing that still worries me a little about this play right now is the fact that the indicators are not yet oversold. So we may see a few more days of hopefully side ways motion, or even a little up would still bring them indicators down to a level I'm more comfortable with. Never the less, I still think this is a good entry here but watch it closely over the next day or two.
Entry would be at
.315 with a stop loss at
.30 giving you an exposure of 4.7%. One thing I have noticed over the years is that round numbers are psychological numbers. So if the machines push the button to scoop up your shares on a panic drop, you might want to consider making your stop loss a little lower but nothing below
.28. This will give you more risk but avoiding the potential whipsaw. First target is
.375 for 19% gains, followed by
.42 for 35.4% gains.
See chart here.