Saturday, September 28, 2013

Sabina down

We saw sbb break down through a good support level of $1.00 last week and through a weak support level of around 94 cents (interesting how it bounced off that level and did make it back up to the 1.00 mark on a intraday high) the other day.

I don't usually include any indicators or oscillators on my charts but I want to point out that the two which I like the most for determining overbought/oversold don't give a lot of hope for a quick swing up. I'm thinking it will drop down to low 80s/high 70s before going back up. That being said, the Bollinger bands do seem to be tightening.

Of course, another thing to consider is that this breakdown was on relatively higher volume (yes, I apologize for the ellipse used to point out the classic volume pattern, but the semi circle wasn't working well for me) and the pattern is often indicative of renewed interest. Although, I have little experience with observing this pattern on a down swing (which I guess begs the question what I even bothered to talk about it...but maybe you know). That being said, we have seen these patterns on 2 of the three break-outs, although in less idealized form.

Another thing to consider is those fuckers from Dundee, who own like 11 percent of this thing, just like to dump shares these days, doesn't matter of what.

Predictions: I predict, based on absolutely nothing, that we will see price action somewhat mirror the price action which occurred in late June, although I predict that it will be on much lower volume and the price will drift down a bit further before going back up.

And, without much further a due here is the chart


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