RE: Off topic JOG news out23 Nov 2023 21:44
Gooner,
Unlike JOG, where sentiment seems to have been seriously damaged by the windfall tax on North Sea OIlers and not ending until 2028, assuming it doesnt get extended, and labour politicians spouting the death of new wells... sentiment in Char appears quite good with assets far away from the North Sea.
That bodes well for farmout news here. I see an intial price target around 25p which has acted as major resistance twice, in 2018 and last year. If we can break 25p than 40p is possible. While JOG has been yo-yoing, Char has been forming a year long base, and that also bodes well for good news. it means that there arent are plethora of sellers around, i.e demand and supply are roughtly balanced, though the base isnt the tightest, when news comes , it should act like a spring uncoiling.
Actually price has held up well, from the 1.56p days, three years ago. Two year long bases have formed at higher and higher levels. Pullbacks happen in all trending shares. Thats the nature of trading/investing, there will always be profit taking by some. Pullbacks tend to be about 50 percent from the peaks of the swing for Char. the two major swings being 11p peak to 5p pullback and 25p to 13p. But the subsequent bases formed are higher than the previous base. From base 4 onwards is when one should be definately thinking about taking profits, but there is still ample room here.
Current pattern is a rectangle, though subsequent peaks are slightly lower so it could be a descending right triangle also. I timed the bottom of the rectangle perfectly, and was in profit almost instantly.
That said we are in a period of high interest, inflation, cost of living, etc... looming recessions and new wars , all of which could affect investor sentiment. But as they say you have to be in it to win it !
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