Last update for the month, new ticker, which Rus at North Post Partners alerted me too, as it got a lot of call buying activity last week.
Let’s take a look at the monthly chart first, where we can count 5 (primary) waves up off the 2005 lows into the 2015 highs. Then there were nice 5 (major) waves down for primary A, followed by 3 waves up for Primary B and price is now in Primary C. Price is finding support at prior resistance, and we could see a major-b bounce. There’s positive divergence on the RSI5, the A.I. is starting to come off oversold, and the MACD-histo is also diverging positively.
Zooming in on the daily chart we can see price has been moving down almost in a straight line, since the start off the year: red downtrend arrow. Price never closed for more than 1 day above this DT line. However, over the past week, price has moved and closed above that trend line for 10 days and is today also trying to close above the 50d SMA. This means a trend in change is occurring. The TIs are pointing up, and the bollinger bands are starting to expand. This tells us to expect higher prices. In addition, note the positive divergence on the daily MACD as well, which has been moving higher since June and which gave a buy cross over last week.
Resistance is at $6.40, then $6.55, followed by $6.65 and $6.75. Support is at $6.10 and $6.05, followed by last week’s low: $5.85