chart analysis, page-14

Proofreeder.

Some interesting questions, heres some answers.


1) "UGL was downward trending, until it started upward trending was my point."

ok..sorry I didn't understand your post. If you knew something about technical trading the break of 15.50 would have given a tech based target of 9.80ish. Its pointless trying to hit those points so an entry anywhere under 11.00ish would have been a good trade.


2)" Didn't understand some of your technical jargon, sorry. Interesting point on double bottom. Am very afraid TMR will see a double bottom further apart this time :/


agree, this will no doubt touch .11ish or even go under that price point over the next 2 months (unless they can bring out a decent annoucement to get it moving).


3)"Just from an instinctiveness, wouldn't a long downward slope, followed by a sustained sideways trend and followed by an upwards slope suggest 11.5 is a definitive bottom?"

Yes, if the outlook for the company has changed to sustain the upward movement. It is important though that it finds new levels of sustained support (price wise). If you are following small penny dreadfuls, be careful, because these particular chart patterns can be manipulated (to pull in the unsuspecting novices).

4)"The SP halted its rise at 14c due to fundamentals in the quarterly report, not from a previous trend."

yep agree with this, the quarterly was not up to scratch and is disappointing. Even though it should have been expected due simply to the whinings and whinges by Hugh. However, from a purely charting perspective it could be argued that .14 was a resistance point that should be respected. A chart trader could have sold at that resistance and bought back in if it broke the resistance (of course volume would need to be considered).


5)"If OP sold and then waited until the trend line was broken at 16c, and TMR wasn't mining through a gap phase and had a more favourable report, then he/she would have lost a large percentage"

mmmm...don't really agree with this, money could have been used elsewhere or at least re-entering at a safer point. Nothing wrong with selling a share and rebuying it at a higher price, can sometimes remove risk. Anyway .16 will not be the trendline break for this as it will range trade for a period of time and that trendline will drop further. Also one big problem with TMR is it has over 1 billion issue. Its not going anywhere in a hurry.


Thanks for the post, this is something I actually enjoy talking about.