- Trends tags:
PMCS made a hammer on its daily chart, right at the 200 DMA. Hammers at the bottom of a trend channel are usually an indicator of a trend change. This assumes some heavy volume, which with PMCS is questionable. Volume is greater than the day before where we see a gap down, but not as big as when the dam broke back on 10/25.
So we'll look to the weekly chart for additional clues.
It looks like the wick of the hammer is wick on the red filled candle for PMCS this week. Its testing the 50 WMA on about average volume. I suspect that PMCS will test this lower boundary of $7.97 again, and possibly go through it because the hammer formation IS NOT convincing to me.