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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 rebounded off the 10 day moving average level at 4.99p, which is also the mid move consolidation zone after October’s sharp rally.
The likelihood now is that while there is no end of day close back below the 10 day moving average there could be further upside.
The target over the next 2-4 weeks is seen as being at least a retest of the October 8p resistance zone, and possibly significantly more.
Independent Resources (IRG)
Independent Resources shares have bounced off the 2p zone in recent weeks, essentially a gap fill rebound of a September gap to the upside.
The latest price action suggests a retest of the October resistance zone just shy of 6p could be on its way.
Cautious traders would wait on a clearance of the 10 day moving average now at 2.86p before taking the plunge on the upside.
President Energy (PPC)
The shares look to be in a very positive setup situation given the mid move / bull flag consolidation breakout to end last week.
The best way forward now is probably to look to buy into any weakness towards the 10 day moving average at 32.5p. The 10 day line is also the stop loss.
An initial target is towards the former February resistance at 50p over the next 2-4 weeks.
Xcite Energy (XEL)
A higher low above 40p for late October is the key price action driver for recovery at Xcite Energy at the moment.
New support has come in at and above the 20 day moving average at 42p over the past few sessions.
While the 20 day line is held the upside here is seen as being initial low 50p’s support from last month and up to the 2014 price channel top after that.
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