SFR - Descending Broadening Wedge possible breakout
SFR has an interesting Descending broadening wedge formation, which you can interpret as corrective in nature within a larger trend. Some evidence to support a bullish posture here:
1. support and volume poured in near the price control value of $5.41.
2. There has been a lot of volume traded between $6.20 and $6.40 as well but a lot of the recent price action has tested these zones and would have removed some stale supply.
3. The short term Stochastic (grey) appears to have bottomed out whils the longer term Stoch (blue) is showing some strength. I don't like the blue Stoch dipping too far below 50 but its turning up at least and indicates the correction may now be over.
4. We can easily define the breakout with a weekly close above $6.35 and closing on or close to its highs. Until then we remain in stalking mode. Traders can set some close stops in this scenario and investors might look for a price target of $8.50
1. support and volume poured in near the price control value of $5.41.
2. There has been a lot of volume traded between $6.20 and $6.40 as well but a lot of the recent price action has tested these zones and would have removed some stale supply.
3. The short term Stochastic (grey) appears to have bottomed out whils the longer term Stoch (blue) is showing some strength. I don't like the blue Stoch dipping too far below 50 but its turning up at least and indicates the correction may now be over.
4. We can easily define the breakout with a weekly close above $6.35 and closing on or close to its highs. Until then we remain in stalking mode. Traders can set some close stops in this scenario and investors might look for a price target of $8.50