RE: Stage Analysis Beginners Questions
(2020-09-20, 04:28 PM)isatrader Wrote:(2020-09-20, 12:24 PM)ianbate222 Wrote: I was hoping that you could take a quick look at bus.v on the Toronto venture exchange. It is Grande West Transportation.
I believe the stage 2 breakout price is over 0.75 but just want to confirm. It would need high volume ( currently 30 ma is still declining). I would post a chart but having problems on my end so it has nothing to do with your system.
The recent lower high at 0.66 would be the new level for the top of Stage 1 base. But is still a long way to get there, and this one had a very large decline of over 90% of its value. So you'd want a much bigger base ideally and exceptional volume as it's a really big laggard. Hence, I'd put it on a watchlist with an alert, but otherwise you'd just check it in a few months or so. Personally, it would be avoided. As I don't want to trade stocks that have had big declines ever as there's normally a reason for it.
Thanks for pointing out it is the recent lower high and not the 0.75 level to watch and yes it is understood a longer base would be ideal and it may take longer to even get to o.66. And if it does break 0.66 I do understand it would need really big volume to qualify as a trigger otherwise it could just be a failed breakout.
Thanks for this,
Ian