DJ, It is of note that the day after the outburs
Post# of 14350
Posted On: 10/20/2013 10:56:50 AM
DJ, It is of note that the day after the outburst of negativity brought on by that poster, the trading volume on KMAG was 0. Though there was much drama, there was no selling...or buying. Monday will be interesting to see how the stock responds after a period of digestion...for some indigestion.
Here is a chart I posted yesterday. There is a giant indecision triangle (red) with the apex occurring coincidentally around December. Statistically, indecision triangles resolve drastically one way or the other. Meanwhile, bouncing between the support and resistance lines is normal.
If the negativity expresses itself technically we could see a dip into the .003's and no technical harm would be done, especially if volume remains low. The recent low volume makes it easy for only one person to manipulate the price. The worst case is that someone puts up a very large block of shares up for sale at a incredulously low price and we breach the support line. Still, that could be a false sell signal or bear trap as the move would be a manipulation, later to be countered by good news.
Stocks move on sentiment, news and rumor. Charts only graph these impulses and can project trends. (Technical Analysis is based on the predictability of human nature.) Right now the trend is a basing pattern working it's way to an apex of resolution. I follow your lead and bet that the final resolution of the triangle will be based on news. Good news.
Here is a chart I posted yesterday. There is a giant indecision triangle (red) with the apex occurring coincidentally around December. Statistically, indecision triangles resolve drastically one way or the other. Meanwhile, bouncing between the support and resistance lines is normal.
If the negativity expresses itself technically we could see a dip into the .003's and no technical harm would be done, especially if volume remains low. The recent low volume makes it easy for only one person to manipulate the price. The worst case is that someone puts up a very large block of shares up for sale at a incredulously low price and we breach the support line. Still, that could be a false sell signal or bear trap as the move would be a manipulation, later to be countered by good news.
Stocks move on sentiment, news and rumor. Charts only graph these impulses and can project trends. (Technical Analysis is based on the predictability of human nature.) Right now the trend is a basing pattern working it's way to an apex of resolution. I follow your lead and bet that the final resolution of the triangle will be based on news. Good news.
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