16c is a Technical resistance level so indecision can occur at such levels, Spinning tops, Doji candles etc, etc, indicate indecision however volume has been very low on those two days so not much weight can be added to those signals as you say, but its very good to read short term price indications at technical levels.
It will take some positive volume to push through a technical resistance zone.
In saying that The Directional Movement Index is positive and with a ADX over 30 indicates a strong uptrend is in place in the short term, i.e 14 days, as opposed to 2 day signals.
Resistance at this level is expected, especially if volume dries up on upward days.
The current price rise is due to a re-action to the prior action, this can be seen by the volatility squeeze shown in the Bollinger bands.
Volume is expected to be on the lowish side over this holiday period.
Market Depth is positive, although I dont give a lot of weight to that either, however it is showing as a sign of change in sentiment when put along side volume analysis indicators like OBV or PVT (price Volume trend) or Equivolume charts etc of a period for those who can read them.
The resistance Level would be my biggest concern but I give a lot of weight to the ADX indicator which is a strong signal and OBV myself as volume precede price movement, generally any pullbacks make for good buys as long as DM is positive, supported by volume and the ADX is high which it is.
Many will be looking for extra confirmation for a close over 16c-17c resistance zone which is fair enough.
All the best Cacoa
DTE Price at posting:
15.0¢ Sentiment: Buy Disclosure: Held
