Theralase Technologies Inc (TLTFF)

[Naamplao]

"I would expect a bit of a pullback from $0.32cdn sometime early in the trading day on Monday... Hopefully the now $0.30cdn level will hold... if it does not then {shrug} we would be back where we were earlier this week. "

Well that was true but $0.30 for TLT.V and $0.23 for TLTFF did not hold as a support and now remains the resistance that is still to pass.



With the TLT.V the $0.30 tried to be a support with the price hitting that level, bounced up a cent to $0.31 then fell back to $0.30 again where it stayed til the end of the day where heavy trading knocked it down to $0.28 and it eventually rose to $0.29.

the trading was very heavy on TLTFF in the morning where it was pulled back to $0.21... but by mid-day it climbed back to $0.23 were it stayed for hours with decent volume until it fell back to $0.2227.

The radio show on Saturday did not give the boost everyone was looking for, though the Health Canada posting of the trial for Phase 1b is comforting, a bit. The filling of 3 first patients is not as easy as it would appear to me from the outside looking in. But it will happen, I am sure of it and that will be the real boost to get past this barrier.

learning how to find and interpret RESISTANCE/SUPPORT levels in share prices is an important first Technical Analysis skill that a newbie to charting should learn. Their trading will improve significantly by acquiring this skill.

I use TLT.V for charting... not because I am Canadian rather it is because the trading action is greater... the greater the trading the better the chart is defined.



I use Candlestick charts since they give more information than simple closing prices. the solid bodies represent the start and close prices of a time interval and the lines from them represents the hi/lo for the interval.

When you look at the raw data... think of it as a battle between buyer and seller... as a price rises the buyer is willing to pay more and the seller is winning the battle... it rises until the buyer digs his heels in and refuses to pay more for the stock. The sellers then lower their prices to generate sales and the price falls until the seller digs in their heels and demands more for their shares. This seesaw battle can continue for a long time. In the above case the support at $0.26 is found from the tops of the candle sticks back in December

the strength of the support/resistance is determined by how often the line is tested. A support line if it is breached then becomes a resistance line and visa versa... a breach of a resistance line creates a support line on passing it.

You can find resistance/support lines in daily/weekly charts for long term players... they also exist in daytrader intra-day charts. For they to work well...especially in intra-day charts the stocks should have high trading volumes.

There is sort of a rule about buying/selling using resistance/support levels.

One should buy (not sell) when rising from a support line... this is because based on your observations the share price should have some legs as it bounces to a resistance.

One should sell (not buy) when approaching a resistance... this is because the share price may fall and not breach the resistance.

Of course, you can use support/ resistance to set targets for short term trades.

I can answer any questions about TA that you might have in a private message to me. I don't want to fill this thread with TA lessons that don't belong to a discussion of Theralase