Sure,
Well there is no doubt that AWE has been trading sideways in a range for a while now, and it may be an accumulation zone, but that will only be confirmed in hindsight.
That said, the wave chart with a big broad wave may offer some hints as to what may be going on....
There seems little doubt where initial support came in, which was followed by a short sharp shakeout, which was then tested.
This action was confirmed to some degree with a nice response, where price accelerated higher.
Following that price came off again, fairly sharply,although there was a brief attempt to support it again about halfway down.
(I have to say that there is a decent chance that at least some of the accumulated positions up to this point, may have been dumped on this leg down)
Anyway, there
was enough volume to break it down again, and start a new leg lower, and it didn't happen......
It would probably be 'drawing a pretty long bow' to say this was part of an engineered accumulation though.
I expect (guess) that this was probably part of a sector event (or individual company event) and perhaps some advantage was taken to absorb some more stock (or it might have been reluctantly absorbed to defend the previous buying), if there really is an accumulation still going on.
Whatever the reason, price responded to the support by moving higher again, although the overlapping waves, and stunted grinding price action, suggest a reasonably high retail involvement, and that some supply is still being drawn out.
So in summary, yes to a degree there are some signs that increased support has come in, but the chart has become quite messy more recently, which clouds the overall intention. Finally, I have a worrying concern that the initial positions taken may have been dumped on that nasty wave down that drew out 42.4million shares (424). Since then there is a higher retail involvement, and the chart has become more messy as a result. Although I cannot be sure of this.
View attachment 649353
cheers
