Ann: IDX: Letter to Shareholders regarding Capitol takeover offer, page-13

Well I think CAJ has been holding up surprisingly well since the IDX bid.   As someone else posted, the acquiring business (CAJ in our case) is usually the one that takes the short term hit in a takeover, but not always.  CAJ is holding up well in this short term era of uncertainty.  Could be far worse, ie getting belted.  I think CAJ is looking good medium to long term regardless of the takeover outcome.   

My take on price action:
Price is holding due to the culmination of positive earnings announcements, the IDX bid with it's longer term benefit to CAJ, increased enclitic traction and bullish world markets.

On the 29 Nov (IDX bid) price opened at 0.32, higher than the previous day (bullish sentiment; excellent).  0.32 is the highest high since the JC recovery phase so although there was bullish sentiment that day there was also big selling.  This may well have been shorts from some ruthless funds like UBS expecting a price fall after the bid announcement.  Bulls and bears ended up pretty much even that day.

Since 30 Nov price has fallen, but rather slowly and there are clear signs of accumulation and distribution on the way down.  A battle zone.  Interestingly price has been in an area below resistance of 0.32 and above the current up-trend line i.e. 'contained within the rising wedge'.  Naturally this will sideline people who are waiting for either a bust of 0.32, or a retest and resumption of trend.   This sidelining has let price drift down to the trend line.  

Price at today's bounce off the trend line is 0.265, equal to the closing price of 7 Nov on which price fell to 0.22 and closed at 0.265 (refer arrow on chart), meaning short sellers should be dried up below 0.265, notwithstanding new shorts or new panic sellers.   Today's open of 0.27, and close of 0.285, and volume excluding the cross trade indicate bulls are back in.  Trend is intact.  In the short term we need a bust of 0.285.  That's a clear sell level currently.