Where next for this AIM recovery stock?
14th August 2018 09:42
by Alistair Strang from Trends and Targets
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Shares in this materials engineering specialist have rallied strongly this year, but where does chartist Alistair Strang think the AIM stock will go next?
A Versarien update (LSE:VRS)
Suddenly, we were reminded why we avoid our big picture reports as they produce flurries of emails asking intelligent questions. Tuesday proved no exception, so we'll stick to near and medium term outlooks in future.
As for Versarien, the share price appears to be attempting a fall off a cliff, of sorts.
There are a few changes to the numbers from our report some months ago, as below 116p and it feels like we should anticipate a visit to 105p.
If broken, secondary calculates at 89p and visually presents a point where some sort of bounce should make sense.
Currently trading around 117p, the price requires to exceed 127p (blue) to provoke a cycle to an initial 132p. At such a point, we're looking for a secondary at 156p but to be realistic, we suspect the share will require closing above 132p to make this a reality.
For now, we fear 89p intends a guest appearance, along with a challenge against the very obvious uptrend since last year.
Source: interactive investor 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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