Even more June like chart action
I hope everyone had a good Turkey Day. Today's volume was almost non existent but nonetheless there were some interesting prints on the chart.
The June reversal off of the low is the pattern I am watching as a guide for a pop that should occur next week.
Today Treaty closed back on the higher low support line, shown in grey, but also now has a close at roughly 2.8 cents which is right where the price closed before the June rally. If you look at the chart below, back in June we had a low put in, a minor pop, then a pierce below the 3 cent low where it had a closing low put in right above 2.5 cents on June 27th.
Then, on June 28th we have an intraday pierce to 2.2 cents before it closed at 2.8 cents.
We are in a similar position in late November. The charts action also has a low, a minor pop, a retest of the low, a touch of 2.5 cents with a close on Wednesday just above it just like on June 27th. Look at what we have today, a close just below 2.8 cents just like June 28th.
Mind you all of this has occurred just a few days after the release of financials. If things are so bad why isn't the stock trading at a penny? Why is it not trading at trips? For that matter why the hell does the chart have multiple factors that resemble the late June rally, why isn't it just going straight down and sideways?
There are way too many coincidences for me to say that this is just random chance. Combining these factors with the other multiple bullish signs that have been building with the higher low pattern and the MACD cross and uptrend, and all I'm watching for now is the close above the moving averages to trigger follow on buying.
[IMG]http://i.imgur.com/TkYug.png[/IMG]
