just looking at the price move will get you in trouble.I look at the OBV indicator buy vol. vs sell vol. and price move in combination on a historical chart to get the BIG picture of what's going on.ALJ presently on Daily & Weekly chart testing 2 key OBV support points ,first historic OBV low D. -20.3 million,W -19.2 million made in July 2008 this is the foundation that the TA will build on.The second OBV point is a Double Bottom test made on the Daily chart making a new historic OBV low started on 10/7/2013, -20.5 mill. ended on 10/9/2013, new historic low -23.4 mill. closing price that day 8.09, intraday low 7.74.This past week important price test of cl. pr. 8.09 & intra low 7.74 started. Daily chart 5/16/16 cl. pr. 8.10, OBV + 5.5 mill. notice the OBV STRONGER on test by 26 million.The next down day was 5/19/16 cl. pr. 7.91,closing below that key 8.09 price support,OBV +6.5 million,indicator going higher by 1 million.The next day Friday 5/20/16 intra low 7.75, tested 7.74 to one penny closed at 8.08 near the high of the day, OBV + 7.5 mill.,no sell vol pressure during strong price correction,very bullish week.
Weekly chart major OBV double bottom starting July 2008 OBV -19.2 mill. to the present, 8 yr. OBV test started 5/2/16 OBV -21.8 mill. cl. pr. 9.14, 5/9/16 OBV -28.8 mill. cl. pr. 8.28, 5/16/16 OBV -35 mill. cl. pr. 8.08.
Weekly closing price different from daily closing price, going back to Sept 30, 2013 cl. pr. 9.08,intraday low 7.74 .Weekly chart in it's 2nd week of price shake out & 3rd week of OBV shake out.
On Balance Volume indicator has made strong BUY signals.
The long term test is on the Monthly & Quarterly chart, historic closing price low 9.43 for both M & Q was made in 2013.Today 5/3/16, a price test of historic cl. pr. 9.43 low was made with the lowest trade of the day 9.38,closing at 9.48, NO new historic cl. pr.low.
The OBV indicator a measure of up volume day's vs down volume day's, over the same period of time has made a very strong bullish pattern,HIGHER LOW'S WITH HIGHER HIGH'S ..The OBV is much higher today well above it's historic low made at the same time the historic price low 9.43 was made in 2013.The OBV confirms the price test as BULLISH.
The Daily chart, a short period Price & OBV double bottom test AT climax,first bottom made 3/2/16, cl. pr. 10.07, OBV value 1,345,808 shares, 2nd. bottom as 2 parts to it, part one, 4/28/16, cl. pr. 9.89 lower cl. pr. with higher OBV value 1,614,449 shares, unconfirmed by OBV indicator as bearish test.Second part made today, 5/3/16 cl. pr. 9.48 with OBV value 1,340,076 shares lower by only 5732 shares .BULLISH
Short period Price & OBV double bottom complete,VERY STRONG SHAKE OUT, interesting day tomorrow.
I'm a strong buyer under 10,bought more today..