The whole stock market is experiencing the same type of "crack" as it did back in Feb/March, now being fueled by a Covid second wave and uncertainty around the US elections. Photocure's RSI is approaching its year low levels in March. The down period in March lasted for about 1 month. The length of this down period will be more uncertain depending on the outcome of the election. Regardless, I see Photocure retracing to between 71 and no more than 57NOK (which would equal a retracement of 0.786, same as in feb/march) before turning around and going to new heights. Currently the company's market valuation is around 2bn NOK. A price target of between 180-220 NOK in May 2021 would give it a market value of 5-6bn NOK which is not unlikely at all. 50 day MA will most likely cross down the 250 MA at first. When it crosses back up, we'll know this company will go to new heights.
@savepiginvest, I realize this chart is much more simplistic than what you've been doing...but what do you think of the potential to go above the analyst projections of around 140, and in doing so, following more closely the channel and trend I've created above?
It is important to note that the early 2020 peak was a blatant pump and dump operation from notorious norwegian speculators Spetalen and Voldberg, which was immediately followed by the previous largest owner in Photocure High Seas being margin called and had to dump all their shares at the bottom because of the march stock market crash.
So i would be a bit carefull in tracing trends based on the 120 NOK peak 12 months ago.
But I see that swedish analysts are besides themselves with praise on the Q4 report, so it seems totally possible that PHO will peak near 150 NOK during this leg up. Then we will need to take stock on how the share price consolidates and which numbers the company report at Q1.
But What a year for Photocure! :D
not-shazeb
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Following the plan!
electricalTuna1995
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@shazeb, never retraced as much as originally projected, but so far it's not bad. Just need to break above the upper trendline to get into that parabolic channel!
not-shazeb
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@electricalTuna1995, I never realised - there is a parallel parabolic channel within the bigger channel. Nice spot. Just tapped 5th Jan, lets hope for a break through next.
electricalTuna1995
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@shazeb, Just broke into the parabolic channel, what do we think is the target this time? 140/150 + or higher?
not-shazeb
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@electricalTuna1995, its legally not allowed to stop until it touches the upper trend line. Its actually against the law