Friday, November 16, 2007
FPH - long black candle
FPH = 70.5 (-6.0%)
FPH formed a long black candle with lower low and lower high and significant volume.
FPH has been trending down in a very steep slope and looks to test a 8+ months demand line. Will FPH bounce from this demand line? This will be answered come next trading week.
FPH will definitely bounce the only question is when... the more prolonged and deeper the decline the more bounce FPH might have. Be careful in catching falling knives...
Reversal signals to look out for would be a hammer or a bullish engulfing (which I definitely doubt given the length of the black candle).
Most likely there will be follow thru selling for FPH come monday. I hope it only forms a small black candle so that the following candle can be white and engulf.
Good luck to all FPH traders!