The bollinger band of Ezra is narrowing and could signal a big movement soon. Currently it is supported at $0.68 and tested in past 2-3 sessions. The triangle trend also possible signals a big movement soon. The question will be a breakup or breakdown coming the way. For a breakdown, the breakdown price level is $0.61 and the breakout price level to watch out for will be $0.75. A breakout will likely to test the recent high of $0.85 target. MACD, RSI and Stochastic indicators are showing bias towards the upside than the downside. DI pair is positively spaced also further suggest more upside than downside for short-term. However, the ADX signal is well below the 20 level indicating any big movement might be lacking in strong momentum hence the target could be capped at $0.85. At last Friday close price of $0.71 with a downside at $0.61 and a target of $0.85, the reward/risk ratio would be
($0.85 - $0.71) / ( $0.71 - $0.61)
= 1.4
Also note, Ezra should be releasing its earning around mid-Jan and it would expected to be worse. Chances are price movement rally up prior to earnings and after report out selling down occur as what it has happened around Nov 08 period is there. As such, investors/traders are suggested to be nibbled
