Versarien's price move 'dare not be ignored'
5th November 2018 08:52
by Alistair Strang from Trends and Targets
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This graphene specialist has seen its share price rocket this year and recent deals have provided a huge boost, but something is worrying technical analyst Alistair Strang.
Versarien (LSE:VRS)
Versarien, very successfully, achieved our initial, then secondary targets by the start of September. A week later, it closed above our secondary and we didn't even notice! Rather horrifically, it has retreated, once again at the levels of our August update.
For now, there's a little bit of messing around going on, requiring the share price to actually close a session above 133p before we dare to express confidence in coming travel to an initial 162p. Secondary, if bettered, calculates at 215p and a new all-time high for the share (At least on the movement cycle since 2013).
As is our wont, we've circled a price movement on the chart, one which indicates the growth cycle since 2017 can be broken. This sort of thing, sometimes an early warning signal, sometimes a calibration error, dare not be ignored thanks to Versarien's recent volatility.
Essentially, it warns of movement now below 107p as being seriously troublesome. Or in plain English, being capable of travel to an initial 94p and possible bounce. Secondary, if 94p breaks, comes along at 62p.
For now, our inclination is to remain optimistic against this.
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.
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