Above is a weekly chart of noble group. In general, it has been on a downtrend since Jan 2011, and has retraced about 50% from that high. On a longer term picture, it appears to have found support at the 50week moving average line. This also corresponds to some support at the 50% Fibonacci retracement level.
On a daily chart of noble group, the trend based on the 50day and 200day moving averages is that of a sideways trend, with the price between the two lines. However, looking at price action coupled with the MACD indicator, it appears that a bullish divergence is forming, with the MACD forming a higher low whereas the price made a lower low on the 15 mar 2011.
Indications are strong that a reversal in noble group is happening. Support is at $2.00 with initial resistance at the previous low of $2.14.
No comments:
Post a Comment