<< It has been over a week since your previous post. WHAT do your charts tell you now? >>
Average volume continues to decline to a level not seen since 10/96.
Hanging at 50 dma.
It remains in an extended declining conolidation pattern. On low volume this is a good basing sign. If and when it breaks out, it should make a very nice move. Now it is in the 9-10 range. It has considerable support at the 8 -8 1/2 range, by both the 200 dma and its previous base.
All that being said, suggests very low downside. I think it is unlikely to go much below 9. I think it has great upside potential. There are to caveats:
The first is the fundamental concern that I have had for a while. While earnings and sales increase, they are not accelerating, but the increase has deccelerated.
The second is that the consolidation that has been occurring (while looking very good, potentially), could continue for another week, month, or year. I don't think year, but another couple of months is very possible.
For now, I'm holding and will watch for technical changes, and hoping that earnigs and sales start to accelerate. I spoke with people in the local area of the banks, and they feel encouraged. They think the local home and other markets in that area are growing very well and this of course gives business to LSBX. BUT feeling encouraged will not move the stock. Time will tell and I will keep watching. I curious how and if the upcoming decision and announcement of Alan Greenspan will affect the market and in particular LSBX. It may have no effect on LSBX.
Phil
BTW what is the sight at siliconheioghts that you posted? I went there thinking that it was an article or chart on LSBX, but looked like a virtual store. |
