Analysis08 July 2022 | Timeframe: 1D | Price $0.36 | Support $0.35 | Resistance $0.43
Geo Energy Resources Ltd. closed 08 July 22 at $0.36. The key support level for the stock is seen at $0.35. As seen from the chart, the stock has been well supported at this level since 17 Jun 22. It has tested the $0.35 level 4 times on 17 Jun 22, 20 Jun 22, 06 Jul 22, and 07 Jul 22. This form a double bottom formation indicating buyers are taking over control of the price at this level.
Key resistance level is seen at $0.43. The stock tested this level from 30 May 22 to 09 Jun 22 on several occasions and reached a high of $0.435 four times on 30 May 22, 31 May 22, 03 Jun 22, and 08 Jun 22. Prices then rejected this level and went to a low of $0.35 on 17 Jun 22. This key resistance level was also seen on 15 Oct 21 when prices tested $0.43 and went down 38.37% to $0.265 on 29 Nov 21.
Latest MACD reading is a positive 0.002. The MACD Line is at -0.018 while the Signal Line is at -0.02 showing a positive gap reading between the MACD and Signal Line at 0.002. A positive MACD reading indicates that there is bullish momentum, and this is reflected in the MACD Histogram where bars are above the 0 baseline. If the MACD Histogram were to rise further, this will expedite the buildup of bullish momentum.
The 14 days RSI reading at 36 shows weak momentum and does not provide a clear signal. Traders should wait for the RSI mover closer to the 30-point reading indicating an oversold signal before committing to a reversal upwards back to the resistance level of $0.43.
Volume will also be another indicator to watch as on the previous two occasions on 21 Jan 22 and 25 Feb 22, a sudden spike in daily volume from the previous day will tip some indicators to flash buy signals for traders to enter.
Geo Energy Resources Ltd. closed 08 July 22 at $0.36. The key support level for the stock is seen at $0.35. As seen from the chart, the stock has been well supported at this level since 17 Jun 22. It has tested the $0.35 level 4 times on 17 Jun 22, 20 Jun 22, 06 Jul 22, and 07 Jul 22. This form a double bottom formation indicating buyers are taking over control of the price at this level.
Key resistance level is seen at $0.43. The stock tested this level from 30 May 22 to 09 Jun 22 on several occasions and reached a high of $0.435 four times on 30 May 22, 31 May 22, 03 Jun 22, and 08 Jun 22. Prices then rejected this level and went to a low of $0.35 on 17 Jun 22. This key resistance level was also seen on 15 Oct 21 when prices tested $0.43 and went down 38.37% to $0.265 on 29 Nov 21.
Latest MACD reading is a positive 0.002. The MACD Line is at -0.018 while the Signal Line is at -0.02 showing a positive gap reading between the MACD and Signal Line at 0.002. A positive MACD reading indicates that there is bullish momentum, and this is reflected in the MACD Histogram where bars are above the 0 baseline. If the MACD Histogram were to rise further, this will expedite the buildup of bullish momentum.
The 14 days RSI reading at 36 shows weak momentum and does not provide a clear signal. Traders should wait for the RSI mover closer to the 30-point reading indicating an oversold signal before committing to a reversal upwards back to the resistance level of $0.43.
Volume will also be another indicator to watch as on the previous two occasions on 21 Jan 22 and 25 Feb 22, a sudden spike in daily volume from the previous day will tip some indicators to flash buy signals for traders to enter.
Trade active:
Updates 18 Jul 22, up 6.76% to 0.395. Target price 0.43.