Since the low on February 6th the SP has entered a generally low volume creeping uptrend. The volume or lack thereof is probably a combination of market skittishness following the US gyrations and consequently some risk based avoidance of local small caps.
The very sensitive MACD histogram started to tick up around 30th January signalling that the downtrend was showing signs of weakening and money flow likewise began to turn up a couple of days later and is now positive while the MACD had a bullish cross of the signal line on 6th February. The 20 day MA has been breached to the upside with the SP approaching the 50 day MA in a day or two if the trend continues. (The MACD and MACD histogram are combined as a composite indicator in one window directly below the price action allows me to gauge both momentum and trend behaviour simultaneously in one window - money flow (amber trace) is in the window below).
The immediate challenge will be getting past 35 cents where there might be some legacy supply hanging around as is obvious on the chart (amber dotted line) where 35 cents was significant support then a resistance level for a few weeks from mid December through mid January prior to the subsequent downside break.
Leaning more toward feeling like a rooster now rather than a feather duster but it is early days. A tough couple of years for long term holders but good to see some green shoots.
Daily COB February 16th
AJX Price at posting:
32.5¢ Sentiment: Buy Disclosure: Held
