Hi Ray,
GNTR is in the process of framing an Ascending Triangle which, upon favorable completion, promises a move above the resistance of 1-5/8ths. After having broken out through its resistance it will probably affect a pull back towards 1-5/8ths, (testing this new support) soon after its breakout. After the pullback, to or near its NEW support, GNTR will resume its established trend.
The Horizontal Resistance at 1-5/8ths represents a common distribution by those shareholders wanting to recoup past losses or those who look at this price level as REVERSAL territory . . . and for good reason. Looking at this stocks history, in 1990, 1992 and 1993 it reached the $2.00 - $2.25 range and each time suffered declines to the $1.00 to 50› range. GNTR is currently at that critical point where bulls and bears are fighting it out.
Re. < But Absolutely no Volume today. Is that common? > My answer is YES.
The Ascending line of the Ascending Triangle describes the gradual contraction of available stock at lower prices. Eventually supply will evaporate and demand will exceed supply and there will be a breakout. If the promise of the Ascending Triangle crystalizes.
BUT Remember, . . . .the overhead resistance has consistently prevailed at or about $2.25 four separate times in the last seven years.
A BIG plus is the respectable volume supporting this pattern.
Re. < I think it (GTNR) qualifies . . . (as a Triangle) . . . .
Overall, a more defined Ascending Triangle would be hard to find, and an Ascending Triangle has proven to be a dependable pattern, THEREFORE on balance I will take a long position.
Ray, I hope I have adequately answered your questions, I know my writing these observations has helped me.
Best Wishes
Eakole |
