SMT SMART Technologies Daily Chart Oversold Falling Wedge Positive Divergence Potential Island Reversal

SMT was one of the IPO's over the last year, they supply a lot of the whiteboard technology. Look at that gap fall, nothing but air between 7.5 and 9.0. Anyone long got slapped silly. Recent action shows oversold conditions, falling wedge, positive divergence, weekly chart is constructive as well, so she should launch in here. Even if the price does move down some more, the MACD histogram has no plans on coming down to negate the positive divergence shown, and RSI and stochastics cannot come down much further, they are already in the basement, so this reinforces the idea of a bounce now, for a quickie trade.

Watch for an island reversal (where price leap frogs that large gap back to the upside) as the weeks and months play out. But, in down markets, the wait for an island reversal may be a long one.  This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or any links connected to this information. Consult your financial advisor before making any investment decision.