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Tuesday, May 13, 2014

A Southward Breakout is Expected on Motive Television

Motive Television stock (LSE:MTV) is in a vivid equilibrium phase, but a significant breakout is expected very soon. Equilibrium markets do not last forever and as such, the price would eventually break out and go in a direction determinedly.

The equilibrium phase is brought about as a result of  less and less trading activity. This is what results in a drop in volatility. When Smart Money influences the price movement, intelligent traders would perceive their action and they would trade accordingly. This is what causes a sustained movement in one direction.


Based on the price action in the chart, it is more likely that the market would fall further when a breakout does occur. The price is almost closing under the SMA (Simple Moving Average) period 30 and the Stochastic Oscillator is in the oversold region, showing that the stock is weak. Generally the equilibrium move reveals the bears’ machination. The bulls are afraid to push the price upwards. The cockroach would like to dance, but the fear of the chicken prevents it from doing so.

When the market falls, it may reach the accumulation territory at 0.014. However, small lot sizes are recommended, since high volatility is envisaged. Some speculators think that bigger lot sizes are needed to reap bigger gains. They think they need to bet the farm in order to become rich. Is that so?

Anyone who prefers easy life would not have what it takes to face the realities of life. The same is true of trading.

This forecast is ended with the quote below:

“The horrible truth is that most people never do a freaking thing! The may want the results the markets can provide. They may dream about what their life could look like. But – unless they take action, they’ll never move forward… The best time to make the choice that will put you in the top 5% of traders was 10 years ago. The next best time is now. You want your life to change? You need to change.”- Louise Bedford (Tradinggame.com.au)


Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Learn from the Generals of the Markets: Market Generals


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