EWZuber
1,373 posts
msg #30935
- Ignore EWZuber |
2/2/2004 10:22:55 AM
NASDAQ just hit up against TL Resistance @ 2074 and bounced down, confirming it as resistance for now.
What is quite short term bearish about this is that the hourly chart Stochastics were not overbought at the time. JMHO
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EWZuber
1,373 posts
msg #30938
- Ignore EWZuber |
2/2/2004 11:01:17 AM
wallman
I agree with jthehut about liquidity. Some days only 2K shares traded. Technically, IMO, the stock is forming a bearish wedge pattern on intraday charts. ( Bearish because it is at the bottom of a downtrend ).
It is testing the 200 DMA as well as a 10 Month Supporting TL.
It tried to gap up this morning above the short term TL Resistance of the wedge but has sold off to test the old resistance as support. Problem is that the top of a wedge is angled down and this does not serve well as usable support.
I don't really like this set up also because it is already a bit overbought on Hourly charts and the odds don't seem to be that favorable for a good move higher. I would have to wait and see how this developes a bit but, IMO, there are more compelling positions out there.
This one has dropped hard on big volume on bad earnings, another bearish indication. JMHO
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EWZuber
1,373 posts
msg #30940
- Ignore EWZuber |
2/2/2004 12:12:16 PM
In NAVR @ $6.16.
Didn't get the entry at $6.10 so this will have to do.
NASDAQ broke TL res. and now is testing intraday high as resistance @ 2077.
Since it hit this high while oversold the odds are good for a break higher. JMHO
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EWZuber
1,373 posts
msg #30951
- Ignore EWZuber |
2/3/2004 3:12:09 AM
IECE hit an oversold stochastic value of 0 on the hourly chart. The last hour of todays session found the stock trading between support and resistance of the wedge pattern. Tomorrow it is going to break one way or the other.
End of day chart indicates that sell volume is slowing down but intraday chart shows that most volume is still on the sell side.
15 HR.MA @ $1.48 and flattening out.
TL Res. tomorrow morning will be at $1.47.
TL Sup. @ $1.425
IMO
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wallman
299 posts
msg #30955
- Ignore wallman |
2/3/2004 7:53:55 PM
ZUB,as always thanks for the input,congrats on your NVAR trade,great call!
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EWZuber
1,373 posts
msg #30956
- Ignore EWZuber |
2/3/2004 9:10:18 PM
wallman
Thanks. When I saw NAVR come up an a screen and I checked out the TA & FA it gave me a warm feeling. Whenever that happens I know its a good one.
This is one of my favorite set ups when a stock is oversold and testing TL support. Particularly when the fundamentals are good.
The PEG is only 0.92 with 28% EPS growth in FY 2004.
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wallman
299 posts
msg #30957
- Ignore wallman |
2/3/2004 9:26:59 PM
ZUB,ha yeah i know that feeling,that's the way i feel about AIRN if i can get one more clunky day out of it to get the rsi2 in the 5's or lower and if i can catch my favorite GRIC on a green hold in the next day or 2
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EWZuber
1,373 posts
msg #30961
- Ignore EWZuber |
2/4/2004 11:04:10 AM
wallman
AIRN getting very oversold. Testing the 200 DMA as support. That would look like a good spot to me except AIRN announces earnings after the bell tonight.
GRIC has tested the 25 WK. MA. @ $2.04 and bounced up but looks like it will retest.
Good luck
Looks like NASDAQ is just about testing that 15 WK.MA. ~ 2000.
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EWZuber
1,373 posts
msg #30962
- Ignore EWZuber |
2/4/2004 2:21:40 PM
There she goes. NASDAQ dropping to test the 15 WK.MA.
Convergent Stochastic Theory indicated this would likely happen.
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nktanaka
5 posts
msg #30965
- Ignore nktanaka |
2/4/2004 6:26:19 PM
So according to the Convergant Stochastic Theory, Nasdaq will rally a bit but it won't make new highs? Monthly Stochastic is entering distribution. Weekly is in distribution. Daily is oversold. And hourly is oversold. Or because both the monthly and weekly stochastic are in distribution, that trumps the daily stochastics and the daily stochastics will remain in an oversold situation until the weekly stochastics becomes oversold?
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