 |
| LINE Daily Chart |
Since there was a bit of discussion about this one on the Monday thread (and I have nothing else in mind anyway) I'm looking at Linn Energy and tossing out my thoughts on the chart. The stock is still in a down trend as both 50 and 200 day simple moving averages are pointing down. Volume has been increasing and on Friday it reached about 3 times average so it may have been a capitulation day and the time to buy. You can see the stochastic printed such a signal as the fast crossed the slow and moved above 20.
Below is a 5 minute chart covering the last 2 days of trading.
 |
LINE 5 Minute Chart
Price is still moving down and while the tallest volume bar is the last one and it is green I'm not convinced that now is the time to jump in with both feet. It may turn out that 35.52 was in fact the bottom. It happened at 2:30 which has often been around the time the market begins its move up toward a strong close but I want to see a bit more indication that the sellers are done.
|
