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To: The1Stockman who wrote (10230)8/30/2013 5:43:12 PM
From: TraderV  Read Replies (1) | Respond to of 14245
 
James, thanks for your through analysis of IMG.TO.

I would like to add this chart to illustrate the possible future bullish scenario.

As you indicated, we have the following possible support levels:

20 MA
IHS neckline (yellow line) which is also incidentally where we have a gap to fill.
50 MA
Trendline from the head to the right shoulder (while line).

I prefer not violating the 50 MA on any correcting move lower.

I placed green arrows where I think will be great buy points if indeed the bottom is in place for the sector.

On this chart I also drew a possible bullish scenario going forward (pure speculation at this point before there is a higher low in place) that could be in play, which is an even bigger IHS. A right shoulder may be forming with the current correction. The neckline is shown in Red with the target of 10-11, where a big gap is sitting since late January.



Again this is a bullish scenario and a pure speculation at this point until we successfully have in a higher low in place.