chart

Hi folks,

I make no predictions but the following will disclose my thinking on the current situation with NXS (note, ignore the date and values on the chart - my cursor was sitting on July 19 when I took the snapshot so the price volume figures are for that day);



A read of the two below will give some background to the significance of the above;

http://www.trending123.com/patterns/bullish_pennant.html

http://www.incrediblecharts.com/technical/flags_and_pennants.php

I make the following very tentative observations;

According to Trending123 we could expect a breakout equal to the spike which started the pennant (i.e. a gain of around 7c) BUT that said, the CST chart on the Incredible Charts page (above) is interesting in that prior to the spike it was very flat, but then an almost 100% gain in share price - can NXS make it to 80c that quickly (hope so but think not).

The section "Trading Signals" on Incredible Charts leads me to think a stop loss at about 36.5 cents might not be a bad idea (based on the "trough" which I place at the low on 18/08). This would still see a profit for those who entered NXS in the lower thirties.

Personally, I'm very much driven by the fundamentals on NXS, but the above chart pattern strikes me as encouraging.

All the above could, of course, be terribly, terribly wrong so, as always, DYOR and best of luck!