Gap filled. I think this has the potential to move sharply up from here. Support continues to hold on the daily chart. We are just off the bottom line of a parallel channel facing up (I am using the interactive chart next to the price quote on Gafisa's IR page).
Hey aco you must be having lots of fun reading technicals in this stock from sell signals all over the place first hour in the morning to buy because its gonna double within a week fifteen minutes before the close . What's the update on tea leaves?
I don't get too deep into it. I tend to rely mostly on trend lines (daily and weekly), gaps, some rudimentary candlestick patterns, RSI extremes, and bolliger band strategies. The trend lines along the tops and bottoms of the 6 month chart are pretty easy to spot. Really high volume spikes usually mark longer term bottoms and tops. None of this is failproof, but better than nothing.
The ADR had pretty strong volume today in the $3.50s. It also helps that the Alphaville deal puts a pretty hard bottom under the stock at R$3.70.
If we float back up to the top of the parallel channel, we should hit between $5-6 on this run.