# TA - Resistance - PMN



## GreatPig (24 May 2005)

In relation to the chart pattern discussion, a clear example of a resistance level at $5.20.

If you consider the converging trend line, then you could also say it's forming a triangle. Or you could instead consider it being mostly in a horizontal channel with a low of $4.86. At times it looks like it can't make up its mind whether it wants to sit on the trend line or on the lower horizontal 

Hope I'm not jumping the gun here, but I thought it was a good example of a resistance level that's been tested (or close to it) four times recently. I'm interested to see if it breaks out above the resistance or below the trend line before it gets squeezed into the apex.

Cheers,
GP


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## tech/a (24 May 2005)

GP

Its an excellent example and also a good example of the subjectivity of technical analysis.
To me its a nice Channel and could have been traded at least 2wice.
Its also quite long so we can expect that a break in either direction will likely be decisive.

Note the exhaustive move and immediate re buying from over sold----dont you wish it was that clear AT THE TIME!

Think its also worth noting that Support/Resistance doesnt need to be spot on.Often Zones of price activity work very well---This is the basis of Steidlmayer analysis.

But Ill eventually get to that.
Keep up the examples always good to see how they pan out.


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## markrmau (1 July 2005)

Interesting chart over the last few days (i'll try to post tonight). This might be the start of a new up trend. Fundamentals look good paying 4.9% yeid fully franked, and PE of 12:1.

Performing strongly even though XJO is down. Unless it falls over this afternoon, it looks good. Might see resistance at $5.


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## GreatPig (1 July 2005)

My current chart.

GP


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## markrmau (1 July 2005)

and here's the last few days in greater detail...


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## RichKid (1 July 2005)

Looks like 4.70 is a nice place to buy with great support. But any close just below would have me jump ship asap. If this breaks away would that leave an island reversal? Nice volume spikes too confirming support. c4.85 seems to be the next logical point of support/resistance. I'd like to see how this compares to the XJO, ie does a general market downturn see PMN go lower too?

Like your chart work GP, lines in all the right places to my mind! But as tech pointed out each can trade the pattern they see. Markmau's updated chart today suggests this one is looking to climb back to the middle part of its recent range.


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