Given some of the comments about the close on Friday and the impending downward move that is expected on Monday. I thought that I would do another chart with some comments on what I see happened last week and what might happen this coming week.
Daily chart
On signing of the new legislation in NJ, BET took a bit of a gallop. By 2:48PM the stock was up 17.48% on the day. It finally settled up 13.46% on the day. A comment was made that this was a weak close, possibly it was. However, it was Friday afternoon, with a 17% rise in the stock for the day and a 25.7% increase in price from the previous Friday's close, profit takers were always going to step in. Afterall, kids have to be fed, mortgages paid, etc.
From what I can see in the charts, the 1.18 key level was taken out (in fact, that is where price settled on the day). I had indicted in a prior post that this was a key level that needed to be wiped. As I watched the day unfold there was significant selling around this level. I suspect that buy stop orders would have been triggered as well as new orders entering the market. There could possibly be more buy stops around the 1.25/7 for those in short positions (if shorters haven't exited en masse already).
The 15 min chart above highlights the buying crescendo before the pullback.
Vol was great - double the average for the more recent period. There was also 1.1M traded at the auction on the close. Price dipped lower at this point.
Where to from here. I indicated in a previous post that the heavy lifting price seems to happen at the back end of the week. This could mean that price will "settle" over the next couple of days. I would not be surprised to see price bounce between 1.18 and 1.30 before finding support at that 1.27/30 level.
Depending on the flow of news, I suspect that price could regain its ATH relatively quickly. But this will depend on positive news and no more wild (and unexpected) takeover offers, which the market hates and will punish stockholders again.
Overall, from a charting perspective, things are looking up. Good news will mean that current trajectory will continue. Great news should give the stock significant upward momentum.
DYOR IMO - this is not financial advice.
