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Sean HymanSean Hyman
Post count: 4519

That’s awesome. We caught it at a point of very, very bad sentiment. We bought after the biggest selling spike volume of the year. Also, that gap lower on the daily chart shows some negativity as well. And that gap will likely at least partially fill. It should have no problem making it back up to the moving averages on the daily chart.

On the weekly chart, check out that really long wick on last week’s candle (right-pointing arrow, emphasizing it). When unusually long wicks are below closed weekly candles, it can be a bullish sign because investors notably pushed the stock up off of its lows and wouldn’t allow it to close out the week anywhere near those weekly lows.

Additionally, when there’s unusually high selling volume, the masses are usually doing the wrong thing. You’ll see that after these spikes, there were times (whether short-lived or not) where the price was much higher than what they panic-sold at.

Since our latest push lower was below the bottom band and stretched far below its moving averages on its weekly chart, I believe it will have no problem snapping back to its 50-week moving average and could hit its 200-week moving average in the medium-term. I believe over the long-term, it could do much more.

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