Replies to post #39343 on 22nd Century Group Inc (XXII)

[Sendme]

I have a belief to trade the chart and not the chatter. LOL I really like the people I have talked to here, and there is nothing wrong with asking questions or even challenging a chart that I post. It's what makes us stronger as traders.

Never take financial advise from ihub is my second rule. LOL

I always like to look at a chart through possible patterns in the indicators as well. I was just looking more into the RSI. Notice the divergence between the price and RSI noted with the blue lines. That was the beginning of the new up trend each time. Then notice the level that the price and bounced on the RSI line by the 1,2 and 3 basically exactly the same level on the RSI but the price was different.

So looking at the RSI one could possibly estimate that this could be close to the last leg up before a possible resetting of the RSI, also note that it is following it's own trend line. So a break below that would be a caution signal to me.


Keep an open mind on what the indicators are showing. A healthy stock will have price and indicators going up at the same time. divergences suggest a pullback, not the end of the world, profit taking, then a time to buy the dip. It is not out of the question in my book for a price to revisit an old resistance line, which in this case sits at 1.75


Shorting the "M" pattern at the center point of the M, pattern is violated if it can break above the top of the M
IMHO price needs to stay above the blue line at 2.45 ish and RSI above 50 or a short attack might happen. If price can stay above it, it has potential to continue to squeeze the shorts into covering their positions by buying shares to cover hence driving up the price. Then as price goes up a press release comes out and people start buying, and the MM's could be dumping shares or shorting again, Hence the sell the news trap. I am always cautious when price goes way up before the news. This is a game dealing with peoples emotions more than anything else. I like major news on a stock that has been beaten down.


Ok I am sure everyone has had enough charts for a while. I hope everyone makes some money here and have a happy holiday.