Would of know doubt love to have seen the stock close on it's highs today, however unless the story is widely covered and on the radars of many to digest the news and potential look for an update from management, this type of news often takes a few days to sink in as to the material effect for a business such as this.
Good price action and demand on market this afternoon with no real motivated selling looking for an exit.
I think those looking for a quick $ here are either done or close to being done as new money or those looking to add to positions see the value in this announcement and further execution by management and continue to back the team to roll this product out. It will be interesting to see what 2021 guidance the company gives.
Not too many small caps (or large caps for that matter) willing to put their balls on the line to indicate to the market what they believe is achievable for the year ahead, especially for a new product being commercialized. It's worth remembering that management has form in terms of delivery, so it will be interesting to see how the market and those that know management view this guidance.
Technically, interesting (but good) to see the weekly close at 14.5c, as you can see a point of interest over the medium term that has seen the range of 6c - 14.5c constrain the stock for the last 2 years. Once this level is cleared (which i believe will be next week) it opens the door for a move to test the 22c / 22.5c mark.
MACD moving strongly above the 0 control line now and firmly in positive trend mode, RSI's in over bought region, however it can certainly continue to spend time here to support a larger mover over the short / medium term before any meaningful pullback. If you look at when the price moved the RSI into this region in 2018, the share price more than doubled before taking a break. Stochastics also have some way to go before we see an over bought reading. Volume on the increase as well is always a good sign for a breakout.
