ta for week ending 11nov

3days into this new week and imo atm, all’s looking fine

The recent strength that has brought PEN to slow its fall of late happened at the bottom reversal or 2bar reversal at NO (1).

The first bar of (1) closed near its butt with the second bar closing on its high which would have effectively locked out all of the panicked sellers from the first week before.

It then falls in the following week, but note that it has a narrow spread on much less volume and closes highish on the bar, a good sign that there was no more selling at the time. (TEST bar)

Unfortunately after dipping a fraction from its close of the ‘test’ bar it tried to rally higher but on much less volume, which is a no no.

More weakness showed at the very next week NO (2), it being a very narrow low closing upthrust, which had even less volume, too much weakness is at that level.

NO (2) is basically having the same effect as that previous week, at NO (3), it being a ‘no demand’, with weakness quite close in its background, note how low closing those 2 prior weeks were.

After NO (2) we cop the weakness that was evident and it breaks lower on an increase closing low with a much wider spread.

But then at the following week (last week) we have a sign of strength appear and that was, on slightly less volume the bar closed up off its low after breaking lower than the previous few bars.

Now, we come to this week which has 2more trading days to complete and atm we see a very narrow, closing middle, on much much less volume happy bar.

If we continue on this light volume and remain narrow (low activity) for the balance of the week, it will imo be a sign (small though) that there’s, at present NO SELLING pressure, and in effect if we do close like this, this week should be having the opposite effect as NO (2).

Note also how PEN has kept its toes up and higher than last week’s low, which last week has also done the same with the bottom reversal over at NO (1). The wait continues.