CTIC Cell Therapeutics Near Term Uptrend Remains Intact

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CTIC pulled back today and volume declined by roughly 50% compared to yesterday.

It closed above the former blue downtrend that that was pierced yesterday which is a short term positive sign.

Tomorrow I really prefer to see CTIC close above 1.64 or higher and to keep an intra day low that is higher than 1.61 .  If CTIC can do that then it will remain in the green shaded area I have drawn on the chart and keep the short term uptrend intact.  This is critical in my opinion for the breakout continuation into next week.  I want to see CTIC stay trading within this green shaded area as a sign that the potential breakout continuation is still in force.

If CTIC is not able to close and hold above 1.62 tomorrow then it will be a concern going into next week in my opinion.  We must not close below 1.62 tomorrow otherwise it may be a short term sign that this breakout continuation is in doubt for next week.  I like to see stocks PROVE themselves and I really do not have much patience for lack of performance because a lot of the time it can lead to big problems later on. 

Ideally I would like to see CTIC get an up day tomorrow and close maybe in the 1.70’s or higher and get a close at the top range of the price bar.  That is the best scenario I can come up with right now for a Friday almost at the end of August.

The big volume upside day we had yesterday was clearly a sign of strength and a valid breakout of the downtrend line.  And today looks like a classic low volume pullback to trendline support.  But again, show me a higher close than 1.62 tomorrow, otherwise in my opinion it will be too risky to hold going into the weekend and Monday.

I realize I am splitting hairs here with CTIC but I would rather split hairs than get split in half! If you know what I mean…

So that concludes part 4 of the CTIC series.  I don’t know how many more parts there will be, it all depends on how well CTIC behaves tomorrow and then on Monday of next week.

Posted in Market Timing, Stock Setups
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