Replies to post #2154 on $$$Ospreyeye: Charts, Technical Analysis & Japanes

[skippy1943]

I will take a stab at that, I know I will be corrected if wrong. lol

The MA 100 @ .021ish is the support If it holds support here, Then MA 10 @ .035ish would be the next resistance.

[skippy1943]

I will take a stab at that, I know I will be corrected if wrong. lol

The MA 100 @ .021ish is the support If it holds support here, Then MA 10 @ .035ish would be the next resistance.

[ospreyeye]

My pleasure bud......thanks for reading.......hope the info. helps......there are no bad questions bud.....on the contrary, questions show you are eager to learn........that's a good thing!......

On the CHLO chart MA(100) is @ 0.0214 & it is support........MA(50) is @ 0.0375 & it is resistance.......MA(10) is @ 0.0335.....it is the 1st resistance level......MA(50) is the 2nd resistance level.......

CHLO has been riding MA(100) support for three days including today........this support level must hold or else CHLO will drop to the next support level which is MA(200) @ 0.0141........

CHLO formed a Bullish Harami reversal pattern yesterday.......when a reversal pattern forms there needs to be confirmation the next day that the signal was correct.......a pattern usually has two trading days to confirm(this depends on the candlestick......if the pattern is bullish and a lg. red candle forms it will void the signal.....we can get into that later).....

Today is confirmation day for CHLO.......the share price needs to trade above yesterday's share price to confirm the buy signal......the market makers gapped CHLO down hard @ the open......currently down 20%......so, the reversal pattern is not yet confirmed.......

CHLO is currently trading @ the lower Bollinger Band support level........when stocks are trading in the bearish lower BB channel the Middle Bb is resistance & the lower Bb is support......right now CHLO is testing lower Bb support.......if it breaks MA(200) is on deck......

GAPS down @ the open are usually for BUYING......gaps up are usually for selling......the MM's gapped CHLO down today @ the open.......looks like traders wanted to load up before the bounce and MM's are obliging.....or it is the shorts trying to finish covering.......

Regardless, CHLO is not safe to play until the share price trades above yesterday's closing price......CHLO has been on a downtrend since the Middle Bollinger Band Support broke end of Jan.....until CHLO closes above The Middle BB it will still be Ina downtrend.......

CHLO will be nothing more than a bounce play/quick trade until the middle Bb resistance breaks.......if CHLO closes below MA(100) today it will more than likely drop to MA(200) @ 0.0141.....

Checkout The Jan. 7th breakout.......looks like there's gap between LOD on the 7th & HOD on the 4th......that's all the way down in the double zero's.......there's alway's the possibility this gap will be filled.......

To answer your question, NO you didn't miss the trading opportunity.......if you decide to play CHLO be careful......if it bounces and fails to break MA's(10, 20, 50) it will pull back......

Stocks in downtrends bounce, because shorts have to cover.........it's called a short cover rally........until CHLO starts a new uptrend any bounce will be a short term trade..........$$$