RE: The story is being told, I think you mean overbought. You my agree or disagree. But this is what the chart is saying. Slow & fast scholastics are in red overbought area. RSI is approaching 80. My comments are based on the chart.
There is short covering taking place. In the last report 1.3 million shares were covered. The report for the last two weeks will come in a few days.
The stock can remain overbought for a while but eventually it has to cool off. Experience tells us that stocks cannot continue to go up in a st line without pull backs. If BNK remains overstretched then you are not going to get a big spike unless there is a huge burst of short squeeze. Short position is still very large & if Iran situation blows up then everything is possible. An over stretched stock can become very volatile too.
Just based on the chart I would feel more comfortable that it creates a nice handle on pull back, consolidate & get out of the overbought area before starting the next leg up. This may or may not happen. But I would like it to happen for me to be more comfortable.
Under the present market conditions I have been heavliy using overbought & oversold indicators for my trading stocks. It has been working for me.
| Short History |
 |
|
|
Symbol |
Report Date |
Volume |
Change |
% of Float |
|
|
|
BNK - T |
2012-07-31 |
14,830,131 |
-1,302,379 |
5.86 |
|
|
|
|
BNK - T |
2012-07-15 |
16,132,510 |
565,201 |
6.38 |
|
|
|
|
BNK - T |
2012-06-30 |
15,567,309 |
-550,176 |
6.15 |
|
|
|
|
BNK - T |
2012-06-15 |
16,117,485 |
-3,401,949 |
6.37 |