PAGE(TA translation)
A stock moving from below its moving averages and holding above them is indeed bullish..PAGE is above its 10,50, and 200 day moving averages..It is true that PAGE sees its 10 and 50 day moving average trending higher..That too is bullish..However, the 200 day is still not trending higher, it is stuck at 4.85..
The climatic close at 5.43 does send a message..Is the stock trading above that level now..The answer is yes..So that too is bullish..
His target is a little high..If you measure the pattern of PAGE, it is 3 by 7.00..Neckline at 7.00..That means when we once break 7.00, minimum upside target is 11.00..Remember, I gave a 11-12 target on PAGE..However, if this guy is using the Fibonacci ratio of 1.62, you multiply 1.62 x 4=6.48...Add 6.48 to 7(the neckline) and you get a target of 13.48..So his 14 target may not be all bad, if we get a genuine feeding frenzy..I use the 1.62 figure on supercharged momo stocks and internet stocks...Did not feel that PAGE was worthy of Momo or internet status...
His resistance areas and support areas are not bad...Actually, the only problem area I see on the upside is 6 7/8-7.12..Once we break, we fly..On the downside, GSCO is giving us support at 5 5/8, then I have 4.75-5.18 as major support..I don't think with the levels of volume we have had, we need to look at 4.00 as major support..
I see his pennant formation..Basically, a symmetrical triangle with Apex at 6.00..The pole is from 5.18 to 6.87..Add 1.60 to apex at 6.00, for initial breakout area,and potential short-term pullback..Target of 7.68 on initial break..
We have had our 50% retracement...Subtract 6.87 from 3.75...Subtract 1.56 from 6.87=5.31...
I would be a buyer of PAGE this week in the 5.25-5.75 area..Look at holding stock for 2 months, with return of about 100% or a bit better...
P.S. What makes me most bullish about PAGE is the contraction(remember PAGE is not having a baby Telecom here,vbg)
We have had several days after the large range expansion day, of lower or equal to previous day high, and higher or equal to previous day lows...Tony Crabb(believe that's his name, must be from your area of the country,Frank) would like PAGE as well..WE had a narrow range day on Friday, lowest range in price in past 3 days... |
