RE:Blue Chip stockIndeed I agree the stock is trading like a bona fide blue chip and the path for solid growth is evident However in genuine Pavlovian objectivity, and at the risk of my reputation as a 'mindless pumper' I felt compelled to share what I am watching at this juncture
A couple of precarious looking candles that sarted with Monday's suggest 1.47-1.50 area could be tested in search of our higher low
I could be wrong about this ..however the volume has just not quite been enough to push back over the 8 MA ...yet ...the touch yesterday was rejected back down ...that was the tell
Had we penetrated through the 8 MA yesterday ...and once we eventually do again ... I do believe the FOMO will kick in bringing the required volume to see a new high ...even without news ...but in the absence of volume or the news that would bring it we are now drifting
I'm ready with a final tranche bid @ 1.49 should I be lucky enough to fill my waders
Here is what I see
Yesterday candle is an ugly outside down after rejecting at the 8MA
Chart is a teensie bit gappy again at the green arrow 13th of Sept.'s candle to 1.49
Stochastics are not turning up nor is the RSI after the opportunity to do so yesterday
I put Fibs on this one from the closing prices Aug 28th low to Sept 19th's high
We've touched the 50% re-tracement currently a 'double bottom' 1.56
If we lose 1.56 then 1.50 is the 61.8% could be where we see our higher low
Failing that and if we see a stop run 1.41 could even be in the cards again
I am surprised as I thought the appetite for this equity was stronger than we've seen this week but lacked the follow through yesterday.. it will remain tentative until we are over 8 MA again ...markets overall not helping and very likely a contributing factor
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