Technical analyst Clive Maund provides an update on the prospects for this technology firm.
While clivemaund.com is primarily a resource stocks website, we recognize that investing is an opportunity cost game, and for this reason we have no problem buying a tech stock that is destined to soar in preference to holding a resource stock that may remain moribund for a while. That is why that we have increasingly turned our attention to NexTech AR Solutions Corp. (NTAR:CSE; NEXCF:OTCQB) in the recent past.
The reason it is so strong, in a nutshell, is that its pioneering 3D augmented reality ads look set to be massive revenue generators, and the company has recently teamed up with Google to this end. NexTech AR looks like it will soon gain the backing of Facebook and Instagram etc.
Aware of what it was working on we had been accumulating the stock earlier in the year, back last winter and spring, first going for it in January at about CA$0.69 per share, and again in March, when it was priced at about CA$0.54. Thereafter it continued to trundle sideways within a trading range until early-mid October, when the high volume stab at the resistance at the top of the trading alerted us that this was a preliminary breakout and that a real breakout was pending. So naturally, we went for it again.
Then, late in October, after completing a bull flag, the stock broke out on heavy volume into a dynamic stage 2 uptrend and we bought it yet again on 11th of this month, when we observed that another bull pennant was approaching completion.
Volume became persistently heavy in recent days, with a larger reaction yesterday, which was hardly surprising considering how overbought it has become, so it looks like it may form another flag or pennant here to allow time to work off the overbought condition. Such a pattern may build out for longer this time, due to the overbought condition and the increase in interest.

This stock is considered to be in a powerful bull market that looks set to take it much higher, due to what the company is doing and its very big and powerful backers or associates. It was mentioned in an earlier report that it could well turn out to be a CA$20+ stock, and while this may seem farfetched, it shouldn’t really. After all, most big stocks, like Apple and Microsoft, started out with modest valuations, and look what happened to them.
So this CA$20/share prediction is not going to be retracted; on the contrary, it could get there faster than most would think possible. We stay long and prospective buyers at this juncture should look out for a minor reaction back to support, and/or a volume dieback to signal a good entry point ahead of another upleg.
NexTech AR Solutions website.
NexTech AR Solutions Corp., NTAR:CSX, NEXCF:OTC, closed at CA$2.26, $1.70 on 21 November 2019.
Originally posted on CliveMaund.com at 6.40 pm EST on 21 November 2019.
Clive Maund has been president of www.clivemaund.com, a successful resource sector website, since its inception in 2003. He has 30 years' experience in technical analysis and has worked for banks, commodity brokers and stockbrokers in the City of London. He holds a Diploma in Technical Analysis from the UK Society of Technical Analysts.