Saturday, December 02, 2006

ESLR Analysis 12.02.2006

Monthly chart shows current support at a .618 fib zone, mid-point of prior large range candle and the 34ema. Bullish harami showed that the selling has stopped, and buyers started coming back into the stock in November.

Last of the sellers were met with buyers. A bottom is slowly building here, however, we have resistance directly above at the 34ema, 89sma, and 13ema to get through, before it can go higher.

Bearish engulfing candle on Friday, signalling profit taking. Watch early next week for signs of continued selling to get out of stock if already in. If buyers continue to come back in, price needs to clear the $10 range decisively before further upside can be seen.

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