Cloudtag: Technical target as high as 30p

If only we could all discipline ourselves to only picking on companies with charts like Cloudtag…

Cloudtag (CTAG): Technical target as high as 30p

Cloudtag has the current honour of being the most followed/trending and just plain loved small cap on the London stock market at the moment. It has achieved multi-bagger status and offered its fans a smooth share price progression to the upside, despite having holes picked in it by professional troll bloggers, and despite its operating in a very crowded field in terms of companies vying for the attention of the punters’ money. Perhaps the best flag that this is a situation to keep on the watch list in the near term was the way the wearable health devices group managed to raise money at above the then share price – something you only see in the most special of positive situations. As for what the near-term outlook on the charting front may be, we can look to a trend channel which can be drawn on the daily time frame from as long ago as the end of May. This has its resistance line projection running as high as 30p, a target which could be hit as soon as the end of this month. The view at this point is that only sustained price action back below the initial September peak at 15.5p would even begin to delay the upside scenario, even though with the RSI indicator reading at well over 80/100 this situation is clearly very overbought.