PSE Ticker

Thursday, July 17, 2014

LTG to close gap?

LTG closed last Tuesday with 3.79% gain. On the daily chart below, it was able to breakout from the 15.14 resistance which is the 23.6% Fibonacci line. The last candlestick seen below is a solid green candle which indicates that there's a strong buy from the opening of the market until it closed. This also gives a higher probability that there may be a continuation of the price to go up on the next trading day. Also the price have closed above the 38.2% Fibonacci resistance line which now the newly found support.

Observe also on the 2 white circles on the chart below. Those are gaps created through strong selling pressure on the previous trading days. I hope these gaps will be closed on the following days so that everybody will be happy. :)

Take note that the RSI or Relative Strength Index is currently valued at 69 and near overbought level. Most traders take profits or sell some of their positions once it reaches overbought. Also the price is approaching the next resistance at 16.44 or the 50% Fibonacci level.

Caveat!

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