Why does this happen ? Please help

Discussion in 'Technical Analysis' started by cashclay, Jul 7, 2021.

  1. cashclay

    cashclay

    ONCS - FLOAT - 16 million
    Current day Vol - 60 million
    I very curious as to why a stock just suddenly drops. I have circled it in blue and very confused by this price action .
    The float rotated about 3 and ahalf times . For some reason everytime it hits some sort of resistance it just plunges.
    I was thinking perhaps it was the buyers dumping their shares but Im not sure.
    Please if anyone can explain this to me. Im a newbie just trying to learn . Thank you Inked7hsrrDCK.png (18_LI.jpg
     
  2. VEGASDESERT

    VEGASDESERT

    IDK, why does it suddenly pop?

    pop.JPG
     
  3. SunTrader

    SunTrader

    The opening price of a key breakaway candlestick is often future support/resistance:-
    ONCS.png
     
    KCalhoun and easymon1 like this.
  4. tiddlywinks

    tiddlywinks

    another viewpoint...

    what you term as "dumping shares" could just be a lack of buyers.
    The inverse is also true... some "pops" could just be a lack of sellers.
     
  5. "For some reason"? LOL! This is exactly why one of the cornerstones of technical trading is to "sell resistance*".

    *This info should be ignored by traders who believe "TA doesn't work". :)
     
    Tradex and Handle123 like this.
  6. easymon1

    easymon1

    Nice.
    Tripple Top, 3 Falling Methods at resistance continuation pattern down to prior support.
    Price takes a ride from 4 down to 3.40. Like Buttah.
    Why did it do that?
    Ask a Fundamental Trader, they pour over reams of information to figure this crap out.

    Rising Three Methods Pattern
    https://elitetrader.com/et/threads/...t-right-here-baby.335635/page-16#post-5178697
     
    Last edited: Jul 7, 2021
    Handle123 likes this.
  7. We don't/can't know "exactly why". It's a waste of time to look for a fundamental reason.
     
  8. easymon1

    easymon1

    Somebodies claim to like it around here.
    I'm open for suggestions within reason, lol.
    Day Trading on fundamentals seems Dicey at Best!

    Disagree?
    Chime in over here, please.
    We want to believe.
    i want to believe 988.jpg

    What Is Fundamental Analysis? Temp Thread Toward of a Future Section On This Essential Topic.
    https://elitetrader.com/et/threads/...uture-section-on-this-essential-topic.344493/
     
  9. Trade what you see. Trade what you know. That's in the chart.
     
  10. easymon1

    easymon1

    delete twys.jpg
     
    #10     Jul 7, 2021