Hi All, i have been watching LRC since the big volume spike on the 7th? I am not trading this on fundamentals because I cannot figure them out!!!! Here are a few observations about the trading pattern and chart:
- someone clearly played with the volume to attract attention. a look at past volumes shows how extraordinary this was. where did all these shares come from and why was the trading so different to what the charts show as the move away from 0.01 to 0.015
- the previous highs of 0.015 appears to have become some sort of a support line. also, notice the lows have continued to get higher. from the 4th of august the stock has traded up. the moves away from 0.015 have become stronger!
- currently, the directional movement (ADX) in the stock suggests it is trending up. this is also confirmed by the weekly charts.
- in smal caps the moves outside of the bollinger band are sold into heavily by traders. this is the same for LRC in the past few days. it does not indicate weakness unless this is confirmed in some other way.
i am a buyer at 0.015 because I do not believe the weakness of the past two days is confirmation of anything. the chart suggests something else is going on with LRC and if the trades of the past few days are genuine then i think we will see a strong move up in the next couple of weeks.
LRC Price at posting:
1.4¢ Sentiment: Buy Disclosure: Held
