My Top Bounce Candidate into Weeks End and New Year… Fully loaded after last purchase today as it made a higher low and not waiting till Friday to enter as it might be much higher as everyone waits for the very end of tax loss selling to get back in.
Just look at the trading today, there was no 10:30 flush lower instead it ripped higher. Tax loss selling pressure is over with the climax being December 5 on 2.3M shares traded.
I like the take today proposed that Canaccord and others thought there was going to be one more capital raise and now they missed it with the unsecured debt raise today and now have to chase the thing much higher as they worked to clear their inventory from the last placement by year-end to clear their book.
RSI making higher lows, MACD above Signal Line even as the share price stays under pressure just shows that the sellers are becoming exhausted. Looking at the technical breakdown point of the beginning of September of 2.40ish/share a retracement of half which I think is reasonable given the amount of tax selling pressure brings it back up to 1.80/share or 50% upside from current levels. Close above 1.25/share and we are off to the races.
Sector sentiment could not get any worse this past week with the Amaya deal falling apart for the gaming space. When stocks stop going lower on bad news that’s when you know it’s time to start buying aggressively. I will bet with Matt Davey as he continues to buy shares in the open market.
LONG LONG LONG