NOL short term ascending triangle

My thoughts on NOL:
NOL has good fundamentals to begin with. In the midst of consistently improving freight rates and earnings, NOL is on track to better 3Q10 results. However, this has been a laggard in the recent STI run up, though its backed by sound fundamentals. Despite the uncertainty in economic outlook from EU and US, sentiments point towards a improvement in global trade, and this sentiment is likely to soon have positive impact on markets perception of shipping lines. Already Cosco and Yang Zi jiang had already a fantastic run up as compared to NOL.


Technicals:
Recently over the month of September, NOL has been forming a small ascending triangle whereby there are higher lows. This is indicative of a strong buying pressure and if prices do move up from today's low of 1.99, the ascending triangle would be quite sound. Ascending triangles have a definitive upward bias, and i believe there is much room for NOL to go up. On a macro view, NOL is also within a symmetrical triangle. Breaking of the ascending triangle and the symmetrical triangle would be a bullish indicator, and vested investors should hold. Those intending to buy in can wait for the breakout at 2.08 on high volume to ride the trend.

Alternate hypothesis:
I believe it is unlikely that NOL breaks on the lower side of the symmetrical triangle, barring any unforeseen unfavorable news. Traders can set a cut loss at 1.99. With such a tight cut loss point, it will limit the risk but enjoy the potential of a strong run up.

Regards,
F.T.

The Return of the Forune Teller.

Alright i have returned..sorry if I had disappointed anyone by not returning here to give my weekly updates. And since I have returned, I will announce some promises to the readers of my blog, however few there are out there.

Firstly, I intend to make this blog more personal to the readers. I know my previous postings were really to say, formal and monotonous. I welcome any suggestions to improve on the personal touch of this blog. As I will promise, this blog will belong to all my readers. Secondly, I promise to further improve on the quality of my posting, but at the same time retain the simplicity of the message behind it. Readers would realize that every posting would now come with a trading hypothesis, that is which direction I think a stock will take in future, and the trading recommendations and alternative hypothesis, ie. what other possible scenarios would happen. However guys, please do bear in mind that I am also a learning trader/ investor. I am not any professional, but I ll do my best in my analysis!

Lastly, if readers find my posts interesting, I will appreciate it if you guys leave a message on the tag board. It would really make a difference! If you do happen to disagree with any of my opinions, please by all means shout out in the shout box. I always welcome a different voice = )

Happy Trading
F.T.

Noble's Third Wave Up

Three days ago, Noble broke its 6 months upper downtrend line for the first time, and out of the descending triangle formation, giving traders a very bullish signal. This could likely mean an end to the second wave down that has been present since March of the year, and going into the third wave up. The third wave of an Elliot wave pattern is never the shortest, and usually the longest. If this analysis holds true, then this could be actually an opportunity to buy into Noble.

Any break below 1.65 should be noted, as below this price Noble will fall back into the descending triangle, making the previous price upswing a false breakout. Feel free to drop a feedback on my analysis.