Afren(Will It, Wont It)

Remo been looking for the right entry and a 123 bottom for Afren and would like to know was the one day leg down good enough to be considered as wave 2 or do we have a new wave 1 high today.


www.screencast.com/t/PwWqyQuKISo

Tight Lines

SRB

Hi richard
me personally would like to see the 2 point move lower so its really clear to see.But yes it could be as the 2 point is lower than the previous days candle by 1/10th of a penny(hense why im not a fan of doing things this way)

SRB,

I think the best place to enter would have been the re-test of 126.30, being the bottom of wave (( a)) but never mind,: there's always another chance:)

forgot to mention that this was mentioned in last weeks interesting chart section
That was the best area to go long as there were to levels of support converging together at 121(trend line) and 119(61.8fib)

I've closed my long on this due to the possibility of a negative RSI divergence on the daily chart:



dl.dropboxusercontent.com/u/20815047/AFRdaily02_05_13.gif

I'm fairly new to these, but in my reading and backtesting (so far) they seem pretty reliable as continuation patterns suggesting that AFR will continue its drop below that trendline. There is another, lower, trendline which sits at 104 today which is the main uptrend support.

It might be worth a short with a stop above 135.2p or just wait to see how it plays out as a paper trade.

J thanks for that, would you be as kind to look at the Lloyds thread as I put a question up there for you

Cheers

SRB