The purpose of this series is to provide insight into what price is likely to do...
and more vital... what price is not likely to do... (since X is the cause and X is not existing, hence Y will not happen...)
The chart is self-explanatory.
IF no-one cares about the stock THEN no one will put money into it (no volume) THEN it will not rise.
The BIG question is,...
1) Bollinger Bands:
Some traders will determine the market as "over-extended"
when the price is piercing above or below the Bollinger bands.
If above then the price is considered overbought and price may start to reverse.
If below then the price is considered oversold and the price may start to reverse.
2) Stochastic RSI:
some traders will determine the...
Way to overextended for the past two days, lets see if traders/investors are going take out their profits. Looking for a short between $5.12 and $4.85.
GMA is overextended from yesterday, got rejected at $4.09 and close ten cents below. I have gather data for the past 249 days and the mean of this stock -0.23% with a median of -0.38% stating there is more negative days then positive. Also with Kurtosis its 9 and the skew 0.02 as well, this data just gives me more information about my short basis. Looking to short...
PRU is way overextended from yesterday and from last night Wall Street it looks like the ASX is going to be risk on, hence why i'm looking for a short in the gold sector. Looking between 0.87 and 0.815.
WSP had a massive run up yesterday, gaining over 10%. I love seeing when a stock is overextended it just gives me more reason to short it, the mean of WSP is -0.19% so there more negative days than positive. Based on the data its a normal standard deviation of 68%, therefore im looking to trade between $2.19 and $1.78, lets see how it reacts between $2.060 and $1.92.
FNP looks way overextended on daily, it gain just over 10% yesterday without any news. Look for a potential short, my trading range will be between $5.96 and $5.65.
Happy Trading
