1)There is a reverse head and shoulders formation ...(a strong bottom sign). Also interesting is the pennant formation.
Given the current valuations of the shipping stocks and the previously pointed out reverse head and shoulders configuration, it seems likely the direction of the shipping industry stocks will be up.
B)EXM 120-day daily chart:
(Jan 8, 2009,$8.70) EXM has butted up against resistance at about $9 before. It has even been a little bit higher. However, the pennant formation on EXM is tightening quickly. It appears to be heading for a break either up or down in the very near term.
For the reasons stated above for the entire dry bulk shipping industry, I think this break will be to the upside. If this happens, EXM should move quickly to at least $13.75, but it may move to even $16.30 in the very short term."