RLLY Update: The Nasdaq was down, BUT RLLY was UP! RLLY tested it's
support one and two days ago. It failed to break down though support, now the stock
will try to make a run for it's resistance which is around $4.00 a share.
RLLY Up 3/32 ( + 2.96% )on light volume. In fact, as the price of RLLY was
dropping, the volume was very low.
I take this to mean that FEW holders were willing to sell at the depressed prices and
most felt that if they waited, they would get a better price. Few Buyers will willing to
buy during the last week of price dropping, knowing they too could get a better price
before BUYING.
Volume is still low today, but the stock has moved UP off its bottom and with another
day or two of UP days, the volume will start picking up again too.
I would not be upset if the price pulls back a bit Friday. Friday is always rough on
small caps. If it pulls back, its a buying opportunity for those investors wanting in
cheap.
If RLLY ends Friday UP, we could have a very good week coming next week. It will
have clearly bounced UP off the bottom, moved UP off the lower Bollinger Bands,
tripped a few more indicators to the Bullish side. Volume should then follow as the
stock starts its move
UP to it's Upper Bollinger band and it's resistance at apx.$4.00
Some RLLY indicators:
Toady's candle is a rough Bullish engulfment. This is one of the most Bullish Candles!
Stochastic's is still bearish, but pointing up and VERY close to becoming Bullish. One
more Up day will do it!
RSI is pointing North ( Bullish ) but showing a very strong oversold condition.
Momentum is sideways ( no longer dropping ) and shows a Very Strong OverSold
Condition
MACD is in Bearish range BUT no longer dropping and is showing a small up move.
DMI is still bearish put moving fast to the Bullish side!
RLLY has moved Up off the lower Bollinger Band, Bullish.
Yep, this is Buying at the bottom! If the stock cont.to move up, this is the point of
greatest profit gain. Also time of higher risk.
Higher risk usually means Higher profit potential.
The down side risk is thin.
Anyone thinking of buying RLLY now has to decide if the small down side risk is
worth the larger Up Side potential.
The indicators are pointing to UP, yet there is still room for the stock to drop. Not
much though, as support has been tested and the test at breaking it, failed twice.
No worries of a bad earnings report's or Bad news coming out, as it is behind us and
next earnings are far ahead of us.
Any News coming out on RLLY, should be positive News.
Good luck to all
GO! RLLY!!
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