Doug,
WAST -- My Evaluation. Let me know what you think; it's been a while since I've done one of these! >g<
If you have time to check, does WAST have attitude?
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Currently trading at 2 13/32
The Chart:
WAST made a huge breakout in february of this year, moving from the 1/2 range to over 2 in a matter of days. Since then it has made a very nice symmetrical triangle with rising bottoms and lower tops over the last couple months making it a pretty good looking high tight flag.
Recently WAST has broken the downtrend formed from the tops of this triangle, but volume did not confirmt this BO which makes the BO suspect until volume kicks in.
With a breakout on volume this one should double in a relatively short time period.
2 1/2 - 2 9/16 looks to be the area of decision, which will either push WAST back down and remain resistance, or, if it can fight through this region, should allow the BO and provide support.
The Technicals:
1) SMI -- bullish
13,25,2 SMI is in bullish territory but has been resting for a while. Short term SMI has recently broken out though and should lead to another 13,25,2 BO as well.
Longer term SMI (89,144,13) is at historic highs.
2) MA/MLR -- bullish
89dMA/MLR crossed over long ago before the first big BO.
13dMA/MLR is uptrending and 1-2 days from crossing over.
3dMA/MLR is uptrending. Almost crossed over on 5/1 but not quite. Still very close though.
3) BB -- neutral
Shorter term BBs are widening after being very pinched on 4/28; though while the 5, 8 & 13 day BBs are all still showing strength by riding on the upper band, the 3 day BB is showing a possible slowdown.
34 day BB looks ready to breakout.
Longer term (55day, 89 day) still need work though as the bands are still pretty spread out and price is well within the middle of the bands.
4) CCI -- bullish
144 day CCI is still in bullish territory (> 100) but still downtrending from its peak of 782(!) on 2/24/98.
89 day CCI is slightly below bullish territory at around 86, but it has flattened out and looks like it has stopped the downtrend.
This looks to be confirmed by uptrends starting in the shorter term: 34 day CCI & 21 day CCI are uptrending (the latter > 100).
13 day, 8 day, 5 day, and 3 day are a mixed bag; the 8 day shows the most strength right now, and both the 8 day and 3 day are showing higher lows.
5) MA -- bullish
All the MAs are in proper bullish alignment.
6) Price/Volume -- neutral
Price seems to be breaking out of the symmetrical triangle on the top of th HTF, however volume so far is not confirming.
7) RSI -- bullish
34 day & 55 day RSI are right at the bullish threshold of 60, which should push the 89 day and 144 day RSI up too, both of which are above 50. This give plenty of upside room too.
Very short term RSI shows an oversold postion, but 8 day, 13 day, and 21 day RSI still have lots of room to the upside.
8) Stochastics -- bullish
233, 21, 8 day stochastics are in a very large IH&S formation but haven't yet broken out.
144,13,8 stochs recently crossed over in the 65 area, as did the 89,3,5 stochs. While this isn't at the ideal of 80, it still can be seen as strong.
Furthermore, the 21,13,13 stochs are just breaking out of the most recent downtrend.
13,8,8 aren't yet signaling, and the 4,3,2 & 3,2,2 are right at the level of a BO but haven't yet.
OVERALL:
Short term picture is one of indecision: while there is plenty of strength in the longer term technicals, the short term technicals need a push to the upside to make a definitive BO. It seems that volume will be the key here; given the recent price move it looks like WAST is short term oversold and could have another dip before making a final push. In this case price should not break the trend of rising bottoms it has made during the life of the "flag." However, with the proper volume, this one is poised rapidly double.
-dave |
