Why NXG still looks good

update here

Intraday Chart Comments

Some comments on intra-day activity.

Notable: The flat-bottom action in CPE and DELL. The flat period signifies either complete inaction in equilibrium, or continuous selling met with a large limit buy order. Which one will win? It looks like in DELL, the buyers won, exhausting supply (though on light volume). In CPE, however, the results are yet to be seen. Hopefully it takes the DELL route.

Hammy Trade: NXG

Bought 1000 NXG at 1.52:

This is a decent ascending triangle break-out and a commodity play.

My assumption is that NXG just broke out of a bullish ascending triangle. It made about a 90% up move prior to forming the continuation pattern. I expect it to repeat the move, with a price target of around 3.03. Areas of resistance will be around 1.65, 1.81, and 2.85.

My assumptions will be proven wrong if the stock breaks down below the ascending trend line. Currently this is at about 1.41.

UPDATE 5/7/09:

Chart Addict just sold his NXG, claiming exhaustion. I think he's wrong, at least according to my price-target metrics. I'll hold until it breaks down.

UPDATE 5/12/09:

NXG is still looking pretty good to me!

Considering Buys

unbelievable picks by Chart Addict and Ragin' Cajun

CPE triangle Breakout:

i put in a limit order to buy on a pullback @ 1.98. Might have executed by now. Decent triangle formation after a run-up. Also, jumped up off 20 day MA

JASO channel breakout:

NXG Gold play. Nice consolidation and breakout of triangle:

Update: put in limit orders for JASO and CPE on pullbacks after the start run-up. CPE @ 2.00, JASO at 3.71.

Update: bought 1000 NXG at 152