Facebook looks well done here.
Month: February 2014
AC.A , Air Canada update
Our first blog ever on this stock was done on the 27th of January, two working days after the stock appeared to have peaked. This blog has been running now for more than 1100 working days and AC.a is a widely held stock for some odd reason so it is interesting to note that getting it right like this has a chance of 1 in 550. Additionally I might add that I do not have a computer assisted monitoring system that alerts me to these events. When brokers say “you cannot time” the market they really mean “ I cannot time the market and I am not even going to try”.
In any event the stock is down almost 40% and one should expect , as a minimum, an A-B-C down where more often than not the C is equal to the A. That gives a target of about $5 which conveniently coincides with the 4th of previous degree. We can be wrong but we do try.
FB, Facebook update
We got some pretty good calls on Facebook and hope that will continue. This is a SELL when the trend line is reached (about $66 maybe). We would not wait for that, or a possible “throw-over”, and would play it safe and sell right away. This is a semi-log chart; they work better when a large distance is covered in a short time. From $17 this is almost a four-bagger in little more than a year. The chart is a very , extremely, clear and well articulated wedge that is working itself into a corner. In the unlikely event that this is an incorrect interpretation one would still expect a drop in a wave 4 to about $45 in the best alternative scenario. A sell. See also previous blogs!
GBU, Gabriel Resources
This company is trying to get the Rosia Montana project in Romania going. The last time I was in the area this was all still behind the iron curtain and pretty dreary quite apart from it being Dracula’s home. We recommended it in Sept. at 0.50, see previous blog. You have doubled your money but there is potential for a lot more. If this 5th wave was indeed a diagonal, then a target of $2.80 is a minimum, which would make it a 5-bagger. Keep your eye on the upper trend line; break it and chances improve dramatically.