I am not a trader who subscribes to the notion of ‘technical analyses’. I don’t believe you can forecast the future based on history. I base my trading more on ‘fundamental analyses’ and simple hard core investigating & research.
So ‘reading’ charts with moving averages Bollinger Bands, Elliot Waves and the like are nothing more than a reflection of the past with an assumption that there be a continuation or pre-empted change based on the interpretation of a concoction of these technical ‘aids’.
Always, the ‘price is what the price is’ – based on what one seller will sell at and what one buyer will buy at. It’s the culmination of many varied reasons, emotions technical aids and the like. The impact of high frequency trading and algorithmic gymnastics also has an impact on price. But IMO nothing impacts price movement more than the buyer / seller sentiment of ‘fear vs greed’.
It should NEVER a case of guessing the future price. It is more important to clearly define what your ‘exit’ (sell) price is and be able to activate that sale. There are 2 x sell prices you need to establish.
Having said all that, I thought it interesting, to compare the closing price of SAS on each Friday from 12th Dec to last Friday. Here they are 7.2, 7.8, 7.7, 8.0, 7.9, 8.1, 8.2, 9.3, 9.2, 10.5, 13.......... based on these closing prices, the same % increase takes us to 22c by end of April….. subject of course to any number of unforeseen variables that could see this lower or higher! – only time will tell.
PS – with HC posters so far suggesting a price range between 3c and $8, it is fair to it will probably be within that range for some time!
SAS Price at posting:
13.0¢ Sentiment: Buy Disclosure: Held
