Leyshon Resources (LSE:LRL) shares
are poised to move skywards, while brave speculators ride their gains accordingly.
The price was recently flat – forming serious bottoms. So why buy stocks when we have a bear market? If
the market does not appear attractive, we usually scan for another stocks (or we
could stay out of the market and watch out for a better trading setup on the chart).
However, the market currently has a good opportunity.
Technical Forecast
The forecast here
could be multifaceted, especially given the recent dynamic reactions in the
price. There was an equilibrium phase that held out too long (it lasted for
several months in a row). Further bearish or bullish attempts were contained
while this phase lasted. Because of this, it was assumed that the next conspicuous
imbalance in the price would ultimately determine whether the bull or the bear
would be the winner. As it turned out to be, the price broke out of the equilibrium
phase on November 8, 2012, when it saw a daily low of 11.25. The upward movement
was extremely significant, and therefore, a pullback in the near-term would not
be a surprise. On the chart, 4 Exponential Moving Averages (EMAs) are used.
They are EMA 10, EMA 20, EMA 50 and EMA 200. The color that stands for each EMA
is seen at the top left corner of the chart.
During the recent
equilibrium phase, all the EMAs were flat. Right now, all of them are giving an
indication of a bull market. If you missed the last significant breakout, the
next best entry period would be when the price pulls back – as it is doing
currently – and touch the EMA 20. Then you would buy after a bullish day in the
market (a bullish candle). Heroes are known for their tendency to discern the
best time to fight and the best time to retreat.
Conclusion: Inevitably, the Leyshon Resources stock will
infirm – going skywards. The market players that have invested their time and
nerves would like to watch this unfold. Would you take a 600-point profit and
pat yourself in the back? Contentment is hard to attain, particularly
when the current trend is extant.
This article is ended with the quote below:
“…and especially retail traders and investors, in their
rush for quick money tend to circumvent many common-sense steps that would help
reveal smaller and bigger faults in their thinking.” – Dan Valcu
NB: You would be
exposed to world-class, cutting-edge, and top-notch trading experiences here: www.advfn.com
Azeez Mustapha
Market Analyst, Trading Signals Provider and Coach
Copyright (C) ADVFN PLC
For more articles, go to: http://www.advfn.com/newspaper/authors/azeez-mustapha
NB: If you want
to receive permanently free winning Forex trading signals, please send me an
email titled: “A Request for Free Trading Signals.”
Send the request to: saazalmu@yahoo.com
Open an account here: eng.fxclearing.ca/ib/915
No comments:
Post a Comment