AFC Energy Shares to Nosedive

PUBLISHED: Sep 04 2013 @ 01:40 | Comments (8) | More info about Azeez Mustapha

AFC Energy shares (LSE:AFC) may go further south, based on the price action which is currently on the chart. The market was turbulent in July 2013 and it traded downwards in August 2013. This outlook is expected to continue.

Further bullish attempts were rejected in July, and since then the price has broken the lower Trendline to the downside. At the same time, the RSI period 14 went below the level 50. The price could eventually reach the support level at 30.00. The power of accumulation has thinned out, and therefore, long positions cannot be sensible, and distribution may push the price lower. As the price nosedives, short trades become vivid as bulls smooth their orders… which may result in transitory bullish correction. The price would go down again, and there would be corrections along the way. The corrections would be effected by bulls’ desperation (they try to open long positions which result in corrections). These retracements would be short-term, but their traces would be visible on the chart.

The forecast is ended with the quote below:

“If you cannot come into the day ready to accept both winners and losers and then move on, then do not go to work that day or do not trade.” – Greg Harmon

Eye-opening trading lessons: http://www.harriman-house.com/experttraders

CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).

Follow @ItuGlobal

This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.