Junior Oil Sands Chart Update
posted Apr 1, 2006 at 03:36PM
As anticipated, stocks within this sub-sector started displaying sign of breaking out from consolidation patterns. Not quite in the order that I "predicted" but then that is why one should own a basket.
Price action within this sub-sector remains robust, with several offering decent entry posiitons from a technical basis.
Looks like consolidation after a clearl break of trend-line resisance
Looks like UTS wants to be the next to go.
Not yet. But soon.
Is entering optimum accumulation areas. Any flip traders who nailed the IT top should be looking to reenter.
Well I was right about the the gap not gettng filled. Is now in a consolidation pattern after doubling in the past two weeks. Now "officially" I am in the buy and hold camp in this sector. but from strictly a swing traders perspectivve if this stock surges again to the $10 level, I would think of selling into that strength.
In my experience any stock that is a ten bagger in a relatively short time period then undergoes a dramatic correction of at least 40-50%. I would go for that trade and try to plough all profits back in at lower levels.
As a back up plan, if that didn't work then look for another vehicle to get invested again.
Of course the other back-up plan is to just hang on and sweat out the retracement.