Last week I mentioned that CRBC was setting-up for another run but that I did not think it was going to be a huge one. Another week has now passed and I have indicators telling me that this next run-up is just beginning with today's candle.
Pushing through its' 50-day sma will happen at .85 and its' 200-day sma at .90. This one is now on the way. Several indicators are lined-up for the move higher and I would like to see it cross its' 200-day and make an assault on the next two key resistance levels, a weak one at .92 and then a stronger one at 1.07.
Today's candle was a step in the right direction but volume is concerning me.
Technical analysis won't tell you the answer to that and those who understand it don't look for it, either. You can only follow your charts and when the time is right to exit, you sell.
There is no way of knowing how high it will rise because there is no way of knowing why it's rises in the first place. It could be that the MMs have kept it down long enough and now want to go the other way for a while. Or, it could be that this is the beginning of another run-up to earnings as we all saw 2 quarters ago.
It's either going to be a significant run or not. I believe it will be the former. When the sell signals come, you get out. So, it doesn't matter how high it will rise. The only thing that matters is knowing when the sell signals present themselves.
I can tell you that the indicators that I use are showing a significant run coming. The one variable we need to be watching for now, is volume. That will determine the length and strength of the run.