First a little background. I'm a long term holder who has in the past traded moves. I do not have time presently so check the price roughly daily and the threads a few times per month.
I am not looking to trade this but still see signals.
My charting software is simple. Red = sell or stay short, Green = buy or stay long. Blue do any of above.
I treat these as guidelines only with volatile small caps and am usually quick to jump.
In the past I have used the daily chart of FLC for decisions.
The increased volume compared with pre November is a sign that interest remains. I would expect thinner volume around Xmas/ New Year as peeps would be on holiday. So the fact that volume is slightly greater than November would reinforce my belief.
Rising MACD histogram even when still red is a potentially bullish sign. Only potentially, as nothing in this game is definitive.
I have reposted the chart showing the bullish div. of the FI (Force Index) Apologies. Another bullish sign.
Have also adjusted MA on volume to 20 day. Thus, it was higher late December than almost all of Nov. and excluded all of the rise.
Somebody was getting in or out.
I would say in as the fall had already occurred.
So by 4 Jan. (or possibly before) with 5 of the last 6 closes being at 22c and FLC seemingly not wanting to drop lower, I was watching for a move on volume.
Jan 5 was that day which would be a buy. Hold on Jan 6 and as I type is 12% up on close of 4 Jan.
Where to now? I stand by yesterday's posting.
But it's volatile. Are you prepared to hold a 20% loss on the belief it's going up?
I'm not, there are easier and more profitable things to do
The secret is to spot the potential move and then wait for the aforementioned indicators to signal.
Hope my ramblings make sense.
Back to charts
And I'm also back to charts.
Cheers
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