RSH (ASX) chart

Originally posted by Patong1: ↑

A significant break of the 200 moving average on the weekly chart opens up the .07 number and, on extension, around .059/.06.

Technically I don't see any reason why .07 and .06 being the bottom. Let's hope so. The lower number to watch in the coming days is .08. Also of some relevance is that many people who took the 5.5 placement will now be panicking because their psychology will be finding it difficult to give this profit back, which has partly resulted in this sell-down. IMHO.

Suppose I look at two different chart styles, Candle and Heiken Ashi. The candle chart shows the price closing at the low. Heiken Ashi is showing momentum is slowing. The volume, which is a better indication of momentum, shows the highest weekly volume since March 29, week 21.

Daily Chart.

I don't use Fibonacci often; however, I have put it on this chart for others. I find just drawing S/R lines more useful. (Personal opinion.) The damage was really done on the death cross 50 crossing the 200. At that point, the general rule is to look for shorts—That's what you would do in FX and Futures anyway. I was always concerned with the price falling below .12 and the swing low at .11. Once they break, it was all about the 200 sma.

This analysis is done with the view of buying more and trying to ascertain the best opportunities. As with all technical analysis, some factors can influence outcomes, such as announcements, Great white sharks waiting to take a position etc.

None of us likes giving huge profits back. However, if you haven't taken any profits, I personally don't believe now is the time. Don't let the fear win.

The big question is can management bring in some buying before this happening?

Expand

No offence is meant here, but given the last 12 months commentary on 'support at x cents' etc etc compared to the current share price - is there any value in charting? Doesn't it only matter to those who want to buy and sell repeatedly, as opposed to long term owners?

I've been loosely following this particular thread since mid 25 cents. It's pretty much all been positive, yet here we are today with 5-7 cents potentially on the table.

Seems to me that the only thing that really matters are the fundamentals, which unfortunately for RSH are still very poor.

For the last ten years it's just been trading on potential, different management teams, different product name, different company name but it's still yet to really deliver anything at all. A few approvals, a few onboardings of chemists and whatnot, but what does that actually equate to?

The fact of the matter is the only thing that will generate a SP increase that actually holds over time is revenue.

The ramping and applauding of this stock so far has been deafening for something that's down 30% this year.

It's getting to the point where people need to be more realistic on how it has performed.

The next couple of quarters have to deliver results otherwise I can't see how many could maintain optimism for the stock.