Sunday, November 25, 2007
LC - gap/window a discussion
LC = 0.47 (6.8%)
LC formed a white candle with higher high and higher low. Bullish.
LC showing support from previous gap up at 0.43. Hopefully LC is on its way to test resistance levels.
LC might be considered to be consolidating in the short term due to lack in volume of possible reversal.
Using the Japanese candlestick charting technique of Steve Nison, it might seem that LC is forming a continuation indicator: the window (the gap made between 0.42 and 0.43). This seems to have become a level of support for LC; and if we are going to use it as an indicator of continuation of the previous gap it has been said that we should go into the direction of the window (which is up!). Note that although the window was closed there was no follow-through selling, which might be bullish.
Resistance: 0.47, 0.53, 0.55
Support: 0.43-0.42 (window/previous gap down)
Good luck to all LC traders!