penchant for the pen chart

Chart below -

This is basically a weekly trend & momentum chart going back as far as possible. Some indicators are bullish while some are on the verge of turning bullish.


Red sloping lines = downtrend resistance,
Flat red line @ 0.031 = overhead resistance,
Green sloping line = uptrend support,
Blue line = the 20 week simple moving average.


The price rising above the moving average recently is bullish. Moving average @ 0.018 & rising should provide support until the trend ends.

The price hit the two year old downtrend & respected resistance two weeks ago. Downtrend @ 0.024 this upcoming week.


A bullish divergence between RSI & the price occurred last October when the price made a lower major low but the RSI didn't.

Significant that this happened when the RSI was oversold, on a weekly chart.

Red line on RSI = a downtrend. RSI breakout, retest & then break above 50 is bullish.

Green lines on RSI = a rising channel.


The Directional Movement System shows the early stages of an uptrend.

Green DMI+ line above red DMI- line sets the scene for going long.

White ADX line rising above red line provides the buy signal.

White line rising above 25 would confirm this buy - currently @ 22.8


The recent green MACD line rise above it's red signal line is bullish.

MACD line currently sits on the center line, (zero). A rise above this line is bullish as it signals that the stock's longer term momentum is changing from negative to positive.


In a nutshell, PEN is on the verge of a positive change in momentum direction, just under an established downtrend line & in the early stages of an uptrend.


IMO, DYOR

Regards