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Spreadbet Magazine editor Zak Mir takes a look at the technical position of some of the bulletin board stocks of the moment amongst private investors.
Here are the key points from today’s video:
The shares have been travelling within a rising trend channel from June.
The end of day close back above the 50 day moving average could lead to the 2014 price channel top at 4p.
The timeframe on the upside scenario is as soon as the next 4-6 weeks.
After an extended breakdown there has been a rebound off the floor of a June descending triangle towards 2p.
The latest price action could mean a move towards the October resistance zone at 6p plus.
Only cautious traders would wait on a break of the triangle at 4p before targeting the projected upside.
Outsourcery shares are continuing to build after an extended base on the daily chart since the summer.
The best way forward now is probably to look to buy into any weakness towards the 50 day moving average / bull flag floor at 15.76p.
Only cautious traders would wait on a clearance of the November 30p resistance zone as a momentum buy signal before going long.
While above the current November 3.35p floor there is the chance of a decent rally towards the 6p post October resistance.
The favoured scenario is that there will be a relatively sharp break to the upside over the next 2-3 weeks.