Saturday, February 4, 2012

Stocks to monitor - Feb 6 to 10, 2012

BHI

Daily - Forming a Falling Wedge Pattern supported by a possible Bullish Divergence. Price is making lower lows while MACD is rising or making higher lows. This type of Divergence signals for a possible trend reversal. Red box below seems like a consolidation zone. However a breakdown from that support will probably send the price to 0.15, 0.14, up to 0.13... For now I am observing and accumulating at the lows. I don't know if it will soon move up and breakout from 0.17 and 0.18... My exit strategy is to cut loss below 0.16...

Weekly - A candidate for Bullish Hidden Divergence. If support holds or bounces at the rising trend line, this might confirm the Bullish HD. In Bullish HD, price is making higher lows while oscillator is making lower lows. This means that there is a possibility that it may continue its up trend.



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