Ron (another technical perspective)
Do you have real time IQ Chart? It is a pretty decent service. I look at SI Charts, Ask Charts, Bigcharts, Meta charts, Investertech, Sec. Trader, TC2000, etc. constantly...(but not all together, too many is confusing) what a whipsaw stock GNET is. Mostly whipping down sadly and brutally! I started charting some in the late 80's actually with Fid. Magellan, but only in the last 4 years became more serious about it. I cringe at how often I have chickened out on not following through on technical signals to buy, and churn inside at not taking signals to sell or buy puts when my gut was saying too, and a rising wedge breakdown confirmed it for instance but I sat there paralyzed. I am sure you agree that it is more an art than a science. Overall probably about 30% skill and knowledge, 30% luck, 30% intuition, and 10% else. It is incredibly difficult to keep all emotions aside.
OK Here is another outlook and more bullish possibility, though I am inclined with you still to think it is not "over" yet. Note on volume: If the stock were double, the same volume numbers translated into a dollar amount would not be that impressive. Over 1 million here would not be that amount higher up relative. (Also on the side: Check out the weekly stochastics for the composite on other settings, very comparable levels to past lows right now)
OK here this is.
1) Notice moving average crossover on this hourly chart
2) Along with MACD crossover
3) And 23-5 stochastics heading through 50, good.
4) OBV positive divergence, notice how it is higher than the 4/17 low.
siliconinvestor.com
On the daily, the stochastic has been below 20 for quite a while. Not that it can't stay there, but very bullish if it crosses back over. If I were short, I would be very skittish about it.
Re: Ask research chart: The RSI at 20 yesterday was a historical low level, you can see that usually a nice bounce ensues from there. Again, doesn't have to happen, just higher probabilities.
OK here is a total speculation possibility, on the bullish side for once. (I am not counting or betting on it at all)
Say the PPI actually is a good number tomorrow. The market will be off to the races, setting a good tone for next week. Without getting too much into that, consider this possible scenario chartwise for GNET stock. An inverse head and shoulders.
(Examples, the second one probably a better one)
chartpatterns.com
The left shoulder would possibly be Mid-end of April, to $45. The head would obviously be forming now. A left shoulder would need to form after this, perhaps after the stock heads some points higher, pulls back on light volume before finally putting this mess behind it. If so, that would be very bullish. Or so the script would go.
In summation: This has been obviously notorious for failed breakOUTS. We don't know for sure if yesterday was a failed breakDOWN, all we know for sure is this thing gives more false signals than the biggest tease in a bikini or whatever flirting away but not meaning it, or for the women a man promising to follow through on every date by calling and never does. |
