There's been a triple whammy of RSI breakouts today which is a very bullish signal and price usually follows. Here we see the weekly chart but this, of course, could yet reverse and close inside as there's still Friday to come. I think it's unlike to do that for the following reasons.... The daily chart on the left shows a clear RSI breakout with price yet to reach its equivalent downtrend. In my experience this is usually an early signal that prices will follow.In addition, the inside bar mentioned in the previous blog entry has now broken and closed to the upside which is an added bullish signal. As we can see, the downtrend lies at 154p so that's the number to keep our eyes on tomorrow. Finally, here's the 4H chart which has been usually helpful recently in terms of RSI supports and resistance. Again, we have the RSI...

A Review The Gulf Keystone chart has become very interesting now so I thought it might be useful to review it in depth and also to see which levels will be important in the coming week and why. It'll be a lengthy piece so please bear with me.We begin with the daily chart going back to the 260p high. This is where I believe wave C of the correction down from 450p started so it's good to look at the whole sequence from there because what we're trying to establish is whether it's complete or not.This wave C should consist of 5 subwaves or a typical "impulse" or "motive" wave. These have a textbook form whereby wave 2 retraces 61.8% of wave 1 and wave 4 retraces 38.2% of wave 3. This is exactly what happened here; the 228p high was very close to the 61.8% Fib of the wave 1...

Previous support was bound to cause a bounce but news came to give it a boost. The key to this one now are those two levels - the 4.6/7p support and the 7.68p resistance.Look to the RSI to give an early clue for an upside breakout - if it breaks its trendline before the price does then price should follow. Then there's the 8.425p level to break.Either way, it's going to have to make a breakout in the coming weeks and room between the horizontal support and downtrend resistance has limited time left. Original link...

I've chosen to show this simple weekly chart of AFC as it clearly shows how the trendlines are providing good supports and resistance.The recent spike up to 52.05p exactly hit the resistance and without a close above that level it's unlikey that higher prices will follow.As can be seen, this share spikes around a lot with very quiet periods in between so it's clearly a very news affected share and therefore a bit unpredictable. Purely from a technical point of view, the 52p level should have been sold and I'd now be either short or waiting for either a Fib support (not shown) or the lower trendline for a long entry.I tend to stay away from shares like this for obvious reasons. Original link...

It's been a while since my last update on XEL but that's mainly because not a lot has changed until the last couple of days. There's talk of a possible 123-low breakout but I remain unconvinced (for now) that this indicates a trend reversal.[Not all 123-lows result in trend changes as all corrective moves (upward moves during a downtrend) should also feature a 123-low move]It's still my opinion the the whole move down from 127p looks bearish, with the today's move up to 106p possibly being a counter move (wave 2) to that down from 113p. It pretty much hit the 61.8% Fib of the last drop which is ideal for a wave 2 up.More important for me is to see what the RSI does. We can see that is closed bang on its downtrend resistance from the 127p high so I'll be looking to see if it reverses from...