After the markets returned to normal SUM has returned back to where it was trading before the whole Japan and US Recession fears caused a panic across everything.
My last Chart I noted it could backtest 20c before pushing back up but that it didn't seem likely with the support being shown, instead it continued to bounce off 21c which can be seen in my Charts.
Most prevalent in the hourly chart, the light blue box where I had as a "supply zone" and the breakout area on the 12/8 - this acted as a very strong support level at 21c. The share price then moved sideways in an accumulation range 21c to 23c and you can see the MACD at the bottom cooled off from its peak at 24c before dropping down and tracking sideways with the share price and bottoming out, then breaking out today to hit a high of 27c and breaking through the 25-MA (light pink line) and the 9-EMA (light blue) and 13-EMA (dark pink). Can see how the share price hugged these lines when it tracked sideways before pushing up today.
Hourly (1-hr) Chart
Weekly Chart
Very Bullish close on the Weekly Chart to finish at 24.5c even though the VWAP of the day was 25.10c, this cuts through all the daily noise.
Can see the Long-Legged Doji candle from last week, which is a strong reversal signal candle formation when at the bottom of a downtrend.
This week confirmed that reversal with the rise in the share price and increase in volume, breaking above the 25-MA (light pink line) and also breaking aboe the 9-EMA and 13-EMA to close above for the week.
MACD slowly turning, as it's the weekly it's a lagging indicator, this is better shown on the Daily Chart where it's already turned so anyone waiting for a Weekly confirmation of a trend change will be paying higher prices for a "reduced" risk entry.
10-min Chart
can see the swings of the moves since that drop to 16c and each box of accumulation, with the MACD rising and falling along with the share price and the bottom of the MACD aligning with each accumulation box (orange) and the week ends with the start of this next accumulation phase.
Daily Chart
As I mentioned above in the Weekly Chart section, the Daily Chart shows where the breakout started but is lagging in the weekly chart.
12/8 seeing the large breakout in correlation with global markets getting back to normal after panic sells across the board and a strong bounce off of the 200-MA line.
Two days of rest, with a small pullback and can see the box that the current prices from the last few days have traded and have been bouncing off that support level at 21c. I had thought it might drop into that box zone in the pullback but there's been strong demand and support to bounce off 21c and push up with little volume the last few days showing there weren't many willing to sell at those levels even profit takers and today saw an increase in volume to touch 27c and a bullish close of 24.5c with a VWAP of 25.106c and closing right at the previous resistance and support levels.
The MA and EMA lines all converging which is a bullish signal....can see the light pink 25-MA coming to a pinch/cross with the 9-EMA and 13-EMA and the candles sitting above all of those for the past 4-days which is a bullish signal, can see how the candles have been under the 9-EMA and 13-EMA in the past since the drop/breakdown from 40c but now this shows a clear change from a downtrend to the start of a new uptrend.
To state the obvious, it will need continuous positive news to keep going; ticking boxes along the way with drill permits, more good sample results and then the final big question of drill results.
The share price looks like it's being drawn to the yellow line like a magnet, this is the 50-MA and will be the final signal of a bull-run confirmation once the share price breaks through that, again there will be others waiting for this confirmation and that will be at the 28c level and go on to break through 30c.
Today's Chart Analysis: (26/8)
Comparing the Candle and the Heikin Ashi on the Daily; the Heikin Ashi provides a clearer indication of the trend as it cuts out more of the noise that the regular candlesticks show.
Can see on both Charts how all the Moving Average lines have come together; the 9-EMA, 13-EMA, 25-MA, 200-MA with the 50-MA (yellow) just sitting above and is the short term target to break this for a complete confirmation of a new uptrend starting.
Can see four days/candles ago the price spiked down through the 25-MA on the Heikin and bounced off of it on the Candle Daily; a bullish signal that no sellers below and buyers came in to push the price back up.
Volume has been low, but that's also been a symptom of the micro-cap end of the market being quite volatile and poor for the last few years.
A clear rejection of prices at the bottom and a bounce off the 200-MA (white line) with a continued breaking through all the MA and EMA lines on that large green candle day. on the regular Candle Daily Chart.
Drilling permits being mentioned as coming in the next couple of weeks should be one of the catalysts to push things up through the next resistance level of 28c which is the yellow 50-day-MA line.
Weekly chart I've not shown but it's a lagging indicator, it's looking bullish and starting to turn, once that also turns there'll be those waiting for that confirmation to enter but by that time the price would have broken the first resistance level of 28c and be well onto an uptrend but that's the price some pay for wanting a "safer" entry.
Currently sitting in an accumulation channel between the 25-MA (light pink line) at 20c and 24.5c resistance level and would be the start of Wave-1 in the Wyckoff analysis with a breakout of this accumulation channel to come.
(below the regular Candle Daily Chart)
(below the Heikin Ashi candles Daily Chart)
SUM Price at posting:
23.3¢ Sentiment: Buy Disclosure: Held
(20min delay)