In Charts I Trust...more technical analysis of this week's plays

Yesterday I posted how I took a small position of NNVC into the close, and I gave the technical reasons why.

There are many other reasons why NNVC is looking like a great setup. First, if you look at the weekly chart, you've got a thin doji-like black candle followed by a white candle, indicating reversal and possibly the beginning of another upside move this coming week.



Also, on the daily chart, you can see the Chaikin Money Flow has been above 0 for 3 months, indicating more buying than selling pressure. The gradually increasing accumulation over that time frame also indicates people are buying shares rather than selling them.



If NNVC breaks to the upside out of its consolidation pattern, I will add another 1,000 shares to my position, and hold for a 2-3 day run.

Another play that I'm looking at, which I didn't mention yesterday, is HGLC. HGLC looks to be forming a G-Pattern. You have a high volume price surge (G1 stage...volume should stand out from the rest of the chart), followed by a low volume pullback (G2 stage) that doesn't pierce the low of the G1 stage. To fulfill the pattern (G3 stage), we will need another surge in price and volume that will break the highest open or close of the G1 stage. In this case, it's .0065 cents on July 16th.



Often, these stocks can run 100% past the break point. For some recent examples of fulfilled G-Patterns, check out HTOG (which I nearly played...too bad I didn't). G1 stage was on 6/24. G2 stage was 6/25 - 6/27. It broke past .0065 on 7/1 and ran all the way past 2 cents before pulling back again.




UPDV is also an example of a fulfilled G-Pattern. G1 stage was 6/24 - 6/25. G2 stage was 6/26-6/27. G3 stage came on the break 0f .0042 cents on 7/1. UPDV ended up running all the way to 1 cent on 7/2.




Anyway, back to HGLC. There's more to this play than just the chart pattern. There's also rumors that the "company" (and I use the term loosely because this is a pink sheeter and who knows what's really going on) will be doing $10 million in share buybacks on the open market. This will decrease the float and drive the price up. Combined with a fair amount of message board hype, and this is looking to be a good setup.

In my last post, I had mentioned FRTL as a potential breakout play. FRTL is also a setup for a G-Pattern.



There's also a good amount of message board hype on this one too.

In my last post I mentioned EFFC. Not only is EFFC fulfilling a G-Pattern on the daily chart (look at the chart in my last post), but the weekly chart is shaping up nicely too, just breaking above the 50-week moving average.



Finally, GSPG not only looks good chart wise as a breakout setup, but the CMF and accumulation lines indicate buying pressure.






Lots of good setups this week. There should be good money to be made this week.