Interactive Investor

Angus Energy: Reason to be optimistic?

Having made a great call on Angus in October, our technical analyst reveals where the charts point next.

6th February 2019 09:52

Alistair Strang from Trends and Targets

Having made a great call on Angus in October, our technical analyst reveals where the charts point next. 

Despite Angus Energy (LSE:ANGS) being in a pretty vile position, its share price drop represents something we prefer to witness as our last prediction mentioned a drop target of 4.5p. The lowest achieved (thus far) has been 5.25p and the route taken may prove quite important.

Source: Trends and Targets  Past performance is not a guide to future performance

If we contrast the above picture against what happened with our thoughts on Ryanair (LSE:RYA) this week, Angus actually achieved a rise to our initial 16p, even bettering it slightly despite not closing above the 16p level. 

The subliminal implication is of some strength being present. Next, unfortunately the share opted to fall off a cliff, but bounced – very slightly – on its first surge at 5.25p, comfortably above our thoughts of 4.5p. 

Again, there is a subtle suggestion of strength being present.

Now, we're going to be fascinated in what comes next. 

To give a first clue bottom is "in", we need the share price to better just 6p as this theoretically allows recovery to an utterly useless 6.5p. But to us, if the price were somehow to better 6.5p, we'd be justified in mentioning a return to 7p is expected.

Only if the price closes a session above 7p can we propose a future 9.8p as a viable ambition, returning the share above its immediate uptrend and giving considerable hope for the longer-term.

In summary, for now we've some slight optimism. And would caution below 5.25p as a trip to 4.5p becomes inevitable. Secondary, if broken, calculates at a pretty devastating 1.75p.

Source: Trends and Targets      Past performance is not a guide to future performance

Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.

Alistair Strang is a freelance contributor and not a direct employee of Interactive Investor. All correspondence is with Alistair Strang, who for these purposes is deemed a third-party supplier. Buying, selling and investing in shares is not without risk. Market and company movement will affect your performance and you may get back less than you invest. Neither Alistair Strang, or interactive investor will be responsible for any losses that may be incurred as a result of following a trading idea. 

Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.

Alistair Strang is a freelance contributor and not a direct employee of Interactive Investor. All correspondence is with Alistair Strang, who for these purposes is deemed a third-party supplier. Buying, selling and investing in shares is not without risk. Market and company movement will affect your performance and you may get back less than you invest. Neither Alistair Strang or Interactive Investor will be responsible for any losses that may be incurred as a result of following a trading idea. 

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