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This will be short and sweet. Or at least, easy as 1-2-3 (and 4). Mighty Maven

22nd Century Group has been having a lot of good news you can read about and a very good conference call on top of that. I want to look today just at some technical chart analysis that signal to me this XXII bull has legs and horns.Let's start with the highly regarded Coppock Curve which typically predicts stock trends with a greater than 90% accuracy. Note the uptrending Coppock Curve line which turned bullish in early April 2016. See how the curve has continued to proceed in an upward direction in a very consistent manner? It is continuing upward to date and the last two days turned the angle of ascent sharply higher. This whole aspect of the chart is a long-term bullish signal. 

Next let's look at the right most two months on the chart, late October through last week. You see a clear cup formed and then you see a clear handle formation. This came as the stock retraced to 59% of its move from $0.89 to $3.50. It failed to move past the Fibonacci level of 61.8 which would have been a signal of further downtrend. But in fact, the steep Fib downtrend was in contradiction to the Coppock Curve. With the Cup & Handle formation coming into play, that confirms the Coppock Curve, and the failed Fib level adds to that confirmation for a bullish scenario. You can see that the rise in the stock Friday and Monday come on the completion of the Cup & Handle formation. 

Next let's look at the price trend of Higher Hi's and Lo's. Starting with $1.14 high last February and the $0.89 low in March 2016, the Hi-Lo's went to $1.55/1.13, then $1.93/1.33, then $2.84/2.00, then $3.34/2.41, then $3.50. That is nine months of higher highs and higher lows. Again, another very strong bullish signal when looking at what is the current long-term trend. This trend also confirms the Coppock Curve, and the Cup & Handle confirms the Higher Hi-Lo Trend as well. 

Finally, we can look at the 10, 20, 50 & 200 day moving averages and the price relative to them. Notice that the stock has been above the 200 day moving average for almost 9 months. The 200 day exponential moving average line is higher than the 200 day simple MA line and it shows the lowest price of the Cup & Handle formation touched base with it, so it retraced to the 200 day EMA. That a key average that's watched in technical analysis, and although my personal opinion is the stock was very oversold in getting to the $1.95, the end result is a very strong Cup & Handle formation as it resolves to the upside. The price is also above the 50 day moving average and the 20 day moving average, in another bullish breakout mode. Furthermore and last of all, the sharply uptrending 10 day moving average is set to breakout through the highest of these averages, the 50 day moving average, probably later this week, which will be a bullish crossover as well.

That's it. You can now check out what's going on with the company from the fundamental side, the news side, and what they and others are saying about them. This analysis would suggest a fairly nice discussion going on in the market. They just hired a bigwig from British American Tobacco to lead their research and development. Something good looks to be going on.

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