None, of the below is investment advice as I am not FCA authorised.
I sold out of my long position in Tungsten Corp this morning for a reasonable 8% profit and have moved this into Westminster Group (WSG) at 26.20p.
This is another technical trade, for which the premise for the trade can be found below:
- We have now reached the January/February support level at 26p, with further downside support at the 24p level.
- If the resistance at the 100 day SMA of 27.9p is broken, then it wouldn't be unreasonable to look for the 33-35p range seen on March 6th, as the breakthrough of the 20 and 10 day SMAs will come a lot easier as they're in downtrend to the more significant average at 100 days.
- The "Riddler Effect" is also in play here - a term used to describe the trader known as "Riddler" on London South East declaring an entry into a stock and people following his analysis and trade ideas.
- The slow stochastic oscillator is showing some very oversold readings in accordance with the RSI, which in the low 30s is also suggesting an oversold state in the market.
- An extension of the January/February support level at 26p to the current price action could suggest a bullish descending triangle is being formed.
Cheers,
The Masked Stock Trader
