More technical history
Technicians and other readers can derive from this whatever relevance they want, if anything. I will be watching carefully in coming days as the sp of $.93 will be an interesting price point. As you recall $.93 was the Feb. 25 opening downside breakaway gap point having plunged from the upper gap point of $1.27 (the previous day's low) after the Petrofac-up.
A bit of history: after IAE came off its Nov. 21/08 all-time low of $.19 it worked its way back up to $.92 and stalled there June 11, 2009, then quickly fell back to $.50 by July 10. It required two more attempts to break $.92: Aug. 18, Oct. 15 each with higher lows in between, and then on Nov. 17 it successfully broke this stubborn resistance price point.
A mere 5 months later on April 29, 2010 it broke $3.00.
I will be watching $.92 carefully. If it waffles and starts to fall I may take a bit off the table on the expectation that it will experience a significant correction and hence an even better buying opportunity in the lead up to Stella. A correction at this point as short term swing traders take a few profits is a reasonable expectation given the powerful rally we have had in the last 3 weeks. Alternatively, a look at the chart of the weeks leading up to the well #1 results Sept 11, 2013 might prove equally as instructive for the potential of a powerful gap closing move back up to $1.27. Solid well #5 results could provide this same catalyst.
The price action around the release of well #5 results will be the tell so I see this playing itself out within days.
Does history repeat itself or can we look forward to a SHINY future?