Since I was given a mention by @mirren for posting an interesting chart in the AVZ thread
Yes I do believe there is bullish potential in AVZ due to close proximity to major support and the possible formation of a falling wedge. I did have to stress potential as there is no confirmation (as in a breakout yet). Even if it does break to the upside of the formation it would in all probability be just a rally and part of a possible basing formation with initial resistance around 20 - 21 cents.
[I do hold AVZ as a pure FA play and on that basis its meant to be a long term hold for me. Whilst I have a charting background I do make pure FA plays, combination FA & TA, and pure TA.]
From a pure charting perspective I wouldn't be involved in AVZ and would have exited if holding much earlier. I can say this in here as it's a sanctuary for chartists where we can ply our wares in peace
We can say now that January through March was a period of distribution. I've shown in my chart what I consider the 2 critical breakdown bars that has led price down to where it languishes today.
I also mentioned in that post 2 other recent falling wedge patterns. This is one type of pattern that is worthy of being on the lookout for but not necessarily easy to play. I do try to take note of what actually works in the market and adapt as it changes.
Here they are - SIV & SLC :
... and this was an example of a pure charting play for me during the week. Note the neat short term consolidation at the top of the range allowing a clear stop loss to be set.
