RE:RE:RE:Link to chartCraigbad wrote:
October 21st was the volume spike where the $25 low was hit which is the first stage. I don't think its possible to have predicted the low, but the technicals i had posted before gave a target of $33 but figured it would overshoot, seemed crazy at the time but played out nicely. We are coming up on the first test of the 50dma. Normally i would expect a pull back but there are some other sector factors which might help push us through. Vrx was used as a go to name for canadian healthcare exposure for larger funds due to market cap and liquity. With the skies a little cloudy there, Cxr is Looking alot more attractive for this exposure, oil is looking like lower for life longer as well. For this reason i'm not going to use the 50dma as a sell point to try for a swing trade, sector is looking pretty strong right now. If you want to play it safe you can let it play out and wait for it to break the 50dma and buy on the retest if you can't handle the volatility.
Thanks for your explanation. Pls don't take this the wrong way, although I think TA is a powerful method of analyzing what *has been* and a good analyst, as you obviously are, could use it to establish reasonable short term price targets, I'm skeptical about its usefullness in predicting what *will be*. Unless new information comes to light, there are just too many unknown variables to reliably predict tomorrow's market sentiment and whether the SP will be up or down. Ultimately it's those "other sector factors" that are usually the determining factors.