Sunday, March 29, 2009

[Analysis] GJ & GU

Ok. I just want to share with you something. Above chart is GJ weekly chart. Well, you can see before this it took about 5 candles try to break this TL, sixth candle broke it, the price went down and made new low. After that price go up and now it was about 4 candles try to break the resistance, if new weekly candle can open above this TL then i will take buy for GJ TP at 155.13 (fibo 38.2% monthly). If price open below this TL i will sell and make TP at below TL about 130. But for long term i think price will go to 166.35 ( fibo 50% monthly), because like i said before, GJ always retrace to 50% fibo or 61.8% fibo. But it is weekly chart so maybe it will take a lot of week :D


For GU, you can see triangle(regular) pattern. This pattern is neither bullish nor bearish until the breakout is confirmed. It could breakout either way. What is certain is that as the price continues to coil, the breakout is near. Once the price does break out and give a sense of direction, the stock will tend to accelerate quite quickly. So you can wait until breakout occur or just post your position between upper and lower TL.

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