AI
Thursday, July 02, 2009 9:26:01 AM
BCND Chart
Charting, especially pinks, can be very difficult. Some say it can't be done at all. I say it can but you need to look at the right chart at the right time. It's like focusing a telescope. You need the right lens and the right adjustment to clearly see what your looking at.
Yesterday during the day I posted that the Intraday chart is showing signs of reversing. I have had several inquiries asking me to explain this so here it is.
Basically we are now in a flippers channel and the only way out is news. The company should use this chart to time their next PR at the high of 6 to maximize the outcome. This is the third trip we are headed to. They flipped from, obviously, 1 to 8. Not bad. They then flipped from 3 to 6, a double, also not bad. We just bottomed off 3 and the signs are all there for a move back to 6 but without news the selling at 6 will bring it down again for another trip. If the company wants to be 'nice' to the flippers they will time the release for just when it goes from 6 to 5. That will catch em with their pants down and they will either settle for the profit on the flip or chase to get back in. Or they could give them help to push it higher. After all, IMO, they are greatly helping to support this aat 3. Kudos to I think bobky. I thought the resistance would be 8, and don't get me wrong we have a nut to crack at 8, but next resistance is truly 6 if you take the flippers and lack of news into consideration.
Now the chart.
RSI - what more can be said. 2 trips over 70 yesterday.
A/D - held flat. Thats good. At least we didn't drop. MM's are not getting excessive inventory as peeps sell out. The flippers are there but the mm's are picking up whatever they can get at 3 also. This should not drop below 3 again. Unless something really bad happens fudamentally.(News wise)
Bollingers - you can clearly see where the bollingers squeezed shut twice and each time the ma's reversed big time.
MA's - have clearly reversed. We just had a recross of the 20, 50 and the 20 50, 100. They may try and bounce the 20 off the 200 like last time to try for a couple more 3's but late in the day the buyers will return. That's 'if' they can do it. it will depend on buy pressure at 4.
PPS - Simple just look. IMO we had good buy pressure at 4 late day. IMO they through out a 3 close to hit SAR down below to make it look weak. Also the 3 caused the upper bolinger to dip down. A 4 close would have left SAR intact down below and the upper bollie would be around .000475. The person selling those 9 mil blocks and 6 mil block gave an mm or flipper a gift at 3. Sorry. If had had posted this earlier you might not have sold. I couldn't post it any earlier because i needed to see how the rest of the day went. IMO I thought we may see 5 yesterday. I'm almost convinced we see them today.
Volume - Lower volume is telling us that we are near or at the bottom. really not much going on at 3 and not much going on at 4. Thats bottom.
MACD - clearly shows the strength of the signals moving above 0. You can see the signal bottom and reverse back up.
Aroon - has moved back up. Normally at this point I would say nothing to write home about. It could easily fall back down but with the rest of the techs moving up I think aroon will stay above 70 now.
Charting, especially pinks, can be very difficult. Some say it can't be done at all. I say it can but you need to look at the right chart at the right time. It's like focusing a telescope. You need the right lens and the right adjustment to clearly see what your looking at.
Yesterday during the day I posted that the Intraday chart is showing signs of reversing. I have had several inquiries asking me to explain this so here it is.
Basically we are now in a flippers channel and the only way out is news. The company should use this chart to time their next PR at the high of 6 to maximize the outcome. This is the third trip we are headed to. They flipped from, obviously, 1 to 8. Not bad. They then flipped from 3 to 6, a double, also not bad. We just bottomed off 3 and the signs are all there for a move back to 6 but without news the selling at 6 will bring it down again for another trip. If the company wants to be 'nice' to the flippers they will time the release for just when it goes from 6 to 5. That will catch em with their pants down and they will either settle for the profit on the flip or chase to get back in. Or they could give them help to push it higher. After all, IMO, they are greatly helping to support this aat 3. Kudos to I think bobky. I thought the resistance would be 8, and don't get me wrong we have a nut to crack at 8, but next resistance is truly 6 if you take the flippers and lack of news into consideration.
Now the chart.
RSI - what more can be said. 2 trips over 70 yesterday.
A/D - held flat. Thats good. At least we didn't drop. MM's are not getting excessive inventory as peeps sell out. The flippers are there but the mm's are picking up whatever they can get at 3 also. This should not drop below 3 again. Unless something really bad happens fudamentally.(News wise)
Bollingers - you can clearly see where the bollingers squeezed shut twice and each time the ma's reversed big time.
MA's - have clearly reversed. We just had a recross of the 20, 50 and the 20 50, 100. They may try and bounce the 20 off the 200 like last time to try for a couple more 3's but late in the day the buyers will return. That's 'if' they can do it. it will depend on buy pressure at 4.
PPS - Simple just look. IMO we had good buy pressure at 4 late day. IMO they through out a 3 close to hit SAR down below to make it look weak. Also the 3 caused the upper bolinger to dip down. A 4 close would have left SAR intact down below and the upper bollie would be around .000475. The person selling those 9 mil blocks and 6 mil block gave an mm or flipper a gift at 3. Sorry. If had had posted this earlier you might not have sold. I couldn't post it any earlier because i needed to see how the rest of the day went. IMO I thought we may see 5 yesterday. I'm almost convinced we see them today.
Volume - Lower volume is telling us that we are near or at the bottom. really not much going on at 3 and not much going on at 4. Thats bottom.
MACD - clearly shows the strength of the signals moving above 0. You can see the signal bottom and reverse back up.
Aroon - has moved back up. Normally at this point I would say nothing to write home about. It could easily fall back down but with the rest of the techs moving up I think aroon will stay above 70 now.
