MSB Charts, page-423

What an eventful (under statement) week!!!

Well done to those LT holders who held their nerve in the face of some of the worst scaremongerings I've witnessed on the ASX and that is saying something. Lovely timing from the AFR to drop the article just in time... they have an incredible canny ability to time the market, so to speak.

The last weekly candle tells the story of a classic fight of the good vs evil (ok a bit dramatic but where are all those dooms day preppers?... sure to be back!). Again it showed its resilence at the $3 mark which is now significantly stronger weekly chart support because of this weeks price action.

Now

• Support from two significant tops weekly close ~$3.10 from Apr '17 and Jan '20.
• Sharp bottom $3.04 Apr '20 on massive volume.
• Bottom $3.06 Jun '20.
• Sharp bottom $2.98 Aug '20 on massive volume.
• Long term trend line from Jan '07 that signaled resistance on the above weekly tops, now acts as support.

Its the weekly and monthly charts you need to take watch for the major trend but you obviously need extra big kahunas to stay in the trade with biotech pre-commercial stocks - crikey!!



RSI looking very positive and MACD is very strong, but expect a bit of potential short term reversal.


Monthly technicals are firmly intact.

• 4 year base.
• 4 major bottoms.
• Closing above old tops and bottom resistance.
• Volume increasing.
• Macro MAs have all crossed confirming cycle trend is UP. 36M MA crossed 60M MA last week and continues to trend up. Important to note this has not occured since Jan '11.
• Following the 10 year cycle, which as previously noted is similar to the PM cycle in structure and timing.

RSI and MACD structure is very healthy with plenty of runway ahead.


Good luck MSBers - have a good weekend and remember the families and children on the other end of this game of numbers!

Not intended as financial advice, simply a few loose technical observations