CLNT Analysis


The $CLNT alert was triggered  @10.17am. As you can see on the daily chart (chart on the right) the stock was already nearing oversold territory.  This is actually a good alert, the only failing it was lacking volume. The LOW PURE GOLD LONG looks for slight movements in volume on low float stocks. The aim is to try and get in before a possible explosive move. No further volume came into the stock came into the stock after this spike. On the intraday the stock dipped to $3.84 and then rose above vwap to $4.30.  Low float stocks will have this kind of volatility. They are high risk and sometimes high reward.


Looking at resistance and support values

20ma  - This is applicable since the stock was below the 20ma. The stock on the 20ma

50ma - This is applicable, the stock briefly pierced the 50ma and failed on the whole number 4.50

Whole numbers - This is applicable, the stock failed to break $4.50 ( the high was $4.49 on the day)

Previous price failures. - A few weeks previously the stock had surged on huge volume. It had faded back to support on $3.60

VWAP -  In this case, it is not really applicable since the stock went above and below vwap a number of times.

Wicking - The stock has a tendency to wick, so expect rapid rise and rapid falls.  


The big problem with this stock was the lack of volume. The alert itself was valid since we are trying to alert potential movers.


As a swing candidate, this would have been quite good. 9 days after this alert the stock gapped from $4.50 to $12.