weekendcharting 28 november, page-81

Short term for EGO, I wouldnt be buying it if it were me, until it proved that it isnt going to break this little uptrend within the larger channel, especially given that Acc/Dis has just dropped out of its trendline. This is where candlesticks can really help and an engulfing candlestick would be a good thing, perhaps even an inside day on a daily bar chart. Just some kind of confirmation that price will not keep dropping on what is still fairly high volume, even though it is dropping.

It will be interesting to see if price fails to break 0.016 and gets stuck in a trading range between 0.01 and 0.015......IOW was the break of the bottom trend line on the daily chart the start of a sideways trend. This is why I dont trade stocks that have broken the bottom trend line, even if they have jumped back into the channel.