The stock was trading near the low of the day and the RSI on a 10 min chart was up at 75. The interesting part of this observation was that the RSI on a 60 min chart was showing over sold conditions with a RSI below 30. Furthermore, through out the after hours small trades of 100 to 300 were 57.98 and there were a few large trades above 10k for 58.70. In addition, the 50% fib line on a daily chart is the same as the after hour close (57.98), this is relevant support; for example, corn was selling off but hit the 50% fib line yesterday on the close and it bounced today.
They marked the trading range tomorrow. The order book is in play. Probably a one,two, three into 61.02 in am ( first half hour).
This is option x week, stock is being held down to clear the calls. It will bounce, and close gap. They increasing sales and earnings, nothing wrong with this company.
Technically the stock is trading at a place where buyers stepped in and took it up. Three things can happen after tomorrow's earnings announcement. One, they disappoint and the stock sell off to test a major double bottom pattern.Two, they beat and the stock reverses. Lastly, revenue growth or earnings don't meet expectations, but they announce a 15% dividend and the stock trades side ways.
One more thing they will announce a dividend at the next earnings this Friday. Also, they have been buying back a lot of shares, so the results of the buy backs will show added value going forward.
rgat, you sound distraught.................
This is a company that is totally self sufficient. The value that is in place from steel producing mines to steel product production; dolomite mines to cement manufacturing; hydro electric power plant to personal company use to sale of electricity to industrial clients and total logistic control is amazing. Don't ever sell this one!!!!!!!!!
I would rather see NAV go up instead of an increase in dividend. Offering shares below NAV dilutes the NAV value, they argue that they can increase dividend by lowering the NAV. Yes that's true, when the stock price goes down the dividend yield goes up!!!!!!!!
and reclaimed the 50sma on weekly chart.. Today the SPY had a bullish gap continuation. Anytime a stock gaps up and continues it shows conviction. Furthermore, the distribution days Monday, Tuesday and Wednesday has changed to accumulation.
The 207 and 208 target numbers weren't randomly selected It is base on a probable algorithm.
I think they will come up with something over there, they must or the situation will not change, and when they do, the market will rally. However, it will take time to show real economic progress.
I think they will form a head and shoulder pattern and take the market down to the weekly chart's 200sma next year.
We will see a higher high on the SPY to 207 or a pierce to 208. If that happens, lighten up and hedge.
They may let the retail investor climb the roof and take away the latter to test the over head supply, and support it at the retracement to the 20sma or consolidate it side ways before the 50sma and break it out after they build a three to six week base.
That's called an island bottom; however, we have seen distribution in the market every Monday, Tuesday, and Wednesday. It was also the third Friday of the month which is an monthly option x day. On option x if there are more puts then calls they go the opposite way to make them expire worthless. Break away gaps may have three gap ups before it run out of steam. If they decide to take the stock up on Monday they will gap it above the 20sma and rip it straight into the 50sma. If that happens..........................
We have seen oil stocks take a hit with lower oil prices, but the price of regular gas at the gas station is still $3.99 a gallon. I don't see any benefit yet!