Click to enlarge
A quick update
The Bollinger bands get very close to each other, that's a volatility squeeze in the make, usually it brings a fast & long spike (Like a coiled spring) from that point breaking out the bands (up or down) to expand & open up again.
To determine the direction of the spike, we look at the indicators, all in positive momentum, the MACD had crossed the signal line & getting green on the histogram as well, the RSI & Stochastics heading upward too... we need a breakout with increasing volume.
The next resistance line is the weekly line @ $0.92 followed by the last high of $1.10
The catalyst is very close, FDA AdCom on 12/20
Disclosure: Long $HEB
The Bollinger bands get very close to each other, that's a volatility squeeze in the make, usually it brings a fast & long spike (Like a coiled spring) from that point breaking out the bands (up or down) to expand & open up again.
To determine the direction of the spike, we look at the indicators, all in positive momentum, the MACD had crossed the signal line & getting green on the histogram as well, the RSI & Stochastics heading upward too... we need a breakout with increasing volume.
The next resistance line is the weekly line @ $0.92 followed by the last high of $1.10
The catalyst is very close, FDA AdCom on 12/20
Disclosure: Long $HEB
Click to enlarge
12/06/2012 chart update
The volatility squeeze continue with larger tension within the Bollinger bands, we will get the "squeezed spring" effect, a wild & fast breakout. Moreover look at the triangle created (light blue lines at the chart) the last month with a base of $0.22 length, makes the target of the breakout around $1.05 at least, while the $1.10 resistance line is very close.
The volatility squeeze continue with larger tension within the Bollinger bands, we will get the "squeezed spring" effect, a wild & fast breakout. Moreover look at the triangle created (light blue lines at the chart) the last month with a base of $0.22 length, makes the target of the breakout around $1.05 at least, while the $1.10 resistance line is very close.
RSS Feed