Sure, we were trading within a symmetrical triangle pattern for months, that trend followed by a downward wedge (which may seems bearish, but it is actually a bullish signal because it means a "failed selloff" took place.) Breaking out of this trend to the upside is a bullish indicator.
But many chart traders will wait for the trend to be confirmed, looking for a second or a third candle setup before jumping in.
So they will use the SMA (the simple moving average) indicators to see how the stock is trading. We were trading right against the 50 day SMA for a while and could not get passed it, but on Thursday we broke that resistance. Once that resistance is broken it should act as support and this was tested a few times on Friday. The 100 day SMA was right above it and a break of that resistance level confirmed the bull setup. The volume also increased on the last two bull candles! also bullish indicator.
I will try and find a good chart example so you can see how this is trading and how predictable it can be based on that.
The point is, everyone who wanted to sell, sold and left but it didn't push the stock down, so now that buyers are coming in there is only one
way to go and that up my friend :)
