any chartist about?, page-6

re: any chartist about? for ewl. Sorry for the late reply ewl - I left the computer just after I originally posted.

As you are well aware, QAD appears to have broken out today above 6c. Volume was also a health 4.5 million to justify the move.

With regards to your consolidation question I have only one answer - the longer the consolidation pattern before the move - the better!!

Ie. QAD has struggled at the 5.9-6c range dating back to the 29/10/2003. It struggled again in this range back on 26/10/2004. The third time was on the 24/01/2005. It has range traded between 3 - 6c during this time, last at 3c 17/05/2004.

What does this mean? Well with this common top dating back to 2003 and the history of the share price trending up gently to this point over the past 8 months, has given QAD a fairly solid basing pattern. As nothing is certain in this world I would not give a trade like this a guarantee - instead you just look at it as a setup to help reduce risk, as much as that risk can possibly be reduced!

I hope this helps - explanations aren't my strong point. If I can help any more, please fire away!