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Tuesday, November 25, 2014

Phorm Corporation Remains a Bear Market

Phorm Corporation shares (LSE:PHRM) is a bear market and it would remain so for some time to come. The recent bullish run peaked in September 2014, after which a bearish bias started. Therefore, the last near-term rally that has happened in this month is a good opportunity to sell short and ride the market downwards.

We are not always sure of the validity of our decision when we want to join a new directional movement, but our bravery is often rewarded. Price has gone into the Trendlines and a break below the lower Trendline would mean a sign of the renewal of the bearish outlook. The RSI period 14 is below the level 50, and as a result of this, the only logical thing to do is go to short. Price may reach the accumulation territories at 10.10 and 9.00 very soon.

A directional outlook cannot hold out indefinitely. At last, the outlook ends and as it is always is, and a new directional outlook would start. But an existing directional outlook may last far more than the majority of speculators may expect. Randomly picking tops and bottoms in the markets may eventually backfire.

This forecast is ended by the quote below:

“To others, being wrong is a source of shame; to me, recognizing my mistakes is a source of pride. Once we realize that imperfect understanding is the human condition, there is no shame in being wrong, only in failing to correct our mistakes.” – George Soros

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Learn from the Generals of the Markets: Market Generals



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