Well it is time to watch this stock again from my perspective. If you followed this thread then you know I sold out a way early at $5.40/share. I wonder how many reaped the benefits of the continued rise topping at about $10.40/share.
Wish I had such courage and not sold out but a profit is a profit and the stock is now returning to those levels again. I still believe coal is important especially with the rise in Oil. so let's look at the stock again.
Here is the SharpChart:
GCE.TO - SharpCharts from StockCharts.com
This has one positive and it is a big one to me....more about that later...
The Bollinger Bands continue to expand and the share price is hugging the lower band...not good. The TRIX has been negative for a long time in spite of previous price rises....but not it is negative and headed for a negative value...not good. The RSI has fallen to the point of almost being "oversold" there is still downward pressure but when it falls below 30% then should be a buying opportunity when other indicators look better...the end is near...not so bad. The Share price smashed the 50 dayMA and shows no sign of reversal...not good.
The positive aspect of this chart is the Accum/Dist. Even though the stock has been declining dramatically...this indicator is showing a positive slope. There is still accumulation...not a massive selloff....I like that in a declining stock.
Let's look at the P&F chart
Look how it briefly broke through the resistance at $9.60 but fell back...the support for this stock is right where it is right now....at $6.40...this support is shown by both a horizontal line and from the diagonal from the columns to the left. It is a fairly strong support as a result....but will it hold remains to be seen. There are other supports shown in a P&F chart I did earlier with a $0.10 box and they show at $6.00 and $5.80....the major one is at $3.70 but I doubt we will reach that level.
The 5 day yahoo linechart is as follows:
You can see the support at $6.40 but it hardly seems very strong....I see us dropping further yet....at least into the $5.00 range.
So in conclusion...this stock will fall significantly further into at least the $5.00 range....then probably you will see some sideways movement and hopefully a positive drift. It is useless to talk about resistance points until we find the bottom to this fall.
But this is a stock that is interesting to me again so I will be commenting more on it in the future.