SXX

My stop loss got hit in the opening auction this am and I managed to get back in at that uptrend support.

The thing is, it gapped down out of the little ascending triangle so that gap and previous triangle support should now become resistance.

Bit hard to tell what's going to happen now IMHO. I plan to close my long from 25p today at the gap (if I get chance) and wait to see if there can be a close above 30p. That'll be my queue to go long again, that or much lower down if it goes that way.

I was a bit surprised as this has always followed the technicals quite nicely. Just shows that you can never be 100% sure and need to have strategies both ways.

This bounced of the short term trend line perfectly earlier today.
That area also had the breakout point as well.
Obviously missed the trading chance as its already bounced from there. This would have been good for a first attempt basis trade.
This is only for education purpose.

BTW, I will be on holiday tomorrow, for 10 days, for warm and sun. So ...

No probs, OG. Thanks for the kind words.

If that pennant plays out, it's my opinion that it will need to break out of that pattern in the coming week. The closer it gets to the apex of the triangle the weaker the move. It's just about at the peak area for breakout on Tuesday.

A close below 27.5p would indicate a failure of the pattern.

Jackozy,

Very appreciated your post with excellent TA. SXX in recent RNS says that the approval of the infrastructural
and production will be given in May. I always know potash mining is much safer than oil
exploration in Kurdistan Iraq or East/North Africa. The reason for me to put money in GKP is for TO.
Really recently I couldn't see the crystal ball of this GKP TO now, though ground wind blows in favour of KRG. So I hesitate to buy more GKP now.

I see SXX is bullish (watching it for long time). Do you think SXX will be a bit dropped during the period between now and the May (middle or end of May for RNS I guess). Could I see a bit drop SXX in March or early April?

I am a slow learner. You have pointed to me that SXX daily chart is a bullish pennant, according to pennant pattern, it will be just up or climb up, not drop. Pls just give me a few words to confirm my understanding.

I really appreciate your posts no matter in GKP or here.

Fa

Hi on greenhill.

Not sure about being an "expert" (is anyone an expert on any share?) but this has been a pretty reliable share for an AIM minnow IMHO.

It currently looks like it's in a bullish pennant which formed at the resistance from previous price highs of 29p and 30p. A close above 30p ought to target 37-40p (there are targets for both of these levels). Here's the daily chart showing the possible pennant:



dl.dropbox.com/u/20815047/SXXdaily03_02_13.gif