Zak Mir 6p U reversal4 Jan 2016 00:42
Apart from an intriguing company name, it can be said that shares of Limitless Earth are perhaps not the first one would have in mind in terms of being a charting contender. That said, the stock has apparently managed to pack in plenty of excitement over the past couple of months, especially since the beginning of November. The reason for the bulls to be taking note of what is going on here over the near term would be that we have been treated to a U shaped turnaround since the November breakdown, something which is one of the stronger formations in charting. Indeed, one could say that we should be primed for at least an intermediate recovery for the beginning of 2016.
This is said on the basis of the higher support for December versus November above 2.5p, and the weekly close well above the 50 day moving average at 3.65p. All of this should go to mean that while there is no end of day close back below this feature we are justified in targeting November resistance through 6p over the next 1-2 months. Only cautious traders should wait on a clearance of the 200 day moving average at 4.67p before going long.
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