PLL - A nice uptrend (100+ bagger in 5 months)
Piedmont Lithium is an ASX listed rare earth stock that seems to be getting plenty of attention on a number of discussion forums and groups I follow - As such, I thought I'd perform some analysis.
Looking at the stock it's broken out extremely nicely from a long period of consolidation in September 2020 from a range of $0.060 - $0.150 to now around $1.120, making it a 100+ bagger if you got in in September 2020 (well done if you did).
The trend itself has been pretty choppy, particularly evident in October 2020 and March 2021 (both around earnings releases), however over the trend has been strongly up, with the 20 day MA providing fairly consistent support.
Looking at the trend structure, there seems to be fairly regular pullbacks over the last 5 months or so to the 20 day MA, particularly when there is a wide divergence between price and this MA. Based on this analysis the stock could be due for a pullback to around $0.940 mark before resuming the uptrend. If the price breaks below the 20 and heads towards the 50 MA, based on past history I would assume that the stock would consolidate again and this may be the time to exit.
Anyway that's my brief analysis, I hope you like it and if you do check out my blog www.nickthetraderguy.com
Looking at the stock it's broken out extremely nicely from a long period of consolidation in September 2020 from a range of $0.060 - $0.150 to now around $1.120, making it a 100+ bagger if you got in in September 2020 (well done if you did).
The trend itself has been pretty choppy, particularly evident in October 2020 and March 2021 (both around earnings releases), however over the trend has been strongly up, with the 20 day MA providing fairly consistent support.
Looking at the trend structure, there seems to be fairly regular pullbacks over the last 5 months or so to the 20 day MA, particularly when there is a wide divergence between price and this MA. Based on this analysis the stock could be due for a pullback to around $0.940 mark before resuming the uptrend. If the price breaks below the 20 and heads towards the 50 MA, based on past history I would assume that the stock would consolidate again and this may be the time to exit.
Anyway that's my brief analysis, I hope you like it and if you do check out my blog www.nickthetraderguy.com