mreinke/yesitis
Yet another technically perfect day...
Important numbers, as posted several sessions ago...
24...28...30...33...35...38...44...47...53...60...73...89...92...98...1.08...1.19...
6/5/06...(today)
VWAP = 49 (missed this one)
high = 53.5 (53)
low = 44
close = 44 (it was almost 47)
First spike = 53.5 (53)
First support line = 47
Secondary support line = 44
There would have been a few t+3's exiting today...perhaps we saw the last of this on the close?
Short-term I hold a negative bias...but at this stage I see GWE as a reactive trade.
The volumes are high enough however to suggest it has done enough to mostly hold the recent rise...even so, that does not rule out lower prices in the interim as it sorts itself out.
Momentum is slowing, with further rises likely to be smaller...unless of course we get news, in which case anything is possible.
The view the low close as possitive, helping to ensure a higher open tomorrow and thereby avoid follow-on selling and possible stop-loss triggers being set off...a lower open after several up days is often indicative of a short-term sell signal...as such, it can make the market somewhat jumpy, which is not particularly conducive to higher prices at the end of such large gains.
Plenty of paper profit here for me and I am sure many others...might be prudent to take a few profits?
I sold down 30% of my exposure today, resulting in a free-carried position for the balance.
Cheers!
GWE
great western exploration limited
