Higher low trendline pierced but holds Earlier to

Higher low trendline pierced but holds

Earlier today I pointed out the shake and bake down to 2.5 cents and was fully prepared to see a close down there, however bid volume strengthened and TECO closed back above the support line. It is amazing how that trendline has held up on a closing basis.

If there had been some major earnings disappointments you would have seen this stock dump out on volume. I'm talking about at least 5 million by lunch time. However, all we saw was some bidwhacking into the lows to close the day at a little over half a million shares traded.

If the pattern fails, and I don't think it will, let's say the worst case is 2 cents for the lows. That is the intraday 52 week low from when it looked like things were going to poop on this stock in late May. The stock has much more going for it than even as far back in late June so if that is the worst case, it's still only about a 1/3'rd loss if someone were to buy at 3 cents.

So even a short term flipper who knows nothing about this stock can see that the risk is 33% downside versus a possible short term pop to 7 cents for a 133% gain. I will split the difference and guess that TECO can see a nickel next week.

I'm in for the long haul but that won't stop me from watching for short term action when the stock is this tightly wound.

[IMG]http://i.imgur.com/jy348.png[/IMG]