I still see more downside to LOG. reasonable support @ 1331 and next stop down @ 1243 ish. The high tail on Friday's candle suggested an attept to raise the price, but the close failed to reach the previous day's close by 2p, suggesting negative sentiment.
Wait and see.Nobody needs to try and catch the bottom on any tech stocks- they'll fly when they're good and ready so don't get burnt!
I'm with Martin on this one.........this stock is too risky to try to catch the bottom..........MM's will play with this one to lure you into false moves. There is enough movement in the price for profits once it makes reversal.
OK guys, i agree, caution must come first. If LOG does fall further on Monday i see 1200 as a very important psychological level and any subsequent bounce could be quick and substantial.
John's point on the MMs is dead right...this stock as been subjected to some of the biggest fluctuations, over the years, without any real reason...good news, bad news, anything that can be pounced on by the mischief makers.
MM's encouraged good trading today, don't mind them when they are on my side. Bought at 1354 sold at 1415. Thankyou Logica - didnt fancy holding overnight - a profit in the bank and maybe we go again tommorrow.
A morning star pattern is a 3 day candlestick which consists of a down day, a gap down with a small difference between open and close and then an up day that significantly penetrates the body of the first day.
Apologies of that is not pedagogically correct! But essentially this is a bottom reversal pattern similar those that you will be familiar with from traditional charts.
Morning star patterns are quite rare and especially significant when they occur around support lines.
Some similar evening star (top reversal) patterns recently showed for bhm and pon and prooved to be quite portentious.
Please be very careful with your chart felt decisions guys on anything TMT and especially telecoms related. Technical Analysis takes no account of the current markets fundamental influences and negative sentiment.
A chartists view on Psion this morning would have been futile.
Re: LOG - Daytrade only, too risky to hold overnight. Hope you got out on the right side Riz.
Quite right Cookie...As I keep saying this market is only good for intra hour/day trading...got out all right for +41 ..back in and out today for -22 this time...I traded 12 shares today...I was in good profit till early afternoon when I had to go due to an emergency...back 2 hours later finding profit gone all together -22 loss instead...should have closed them all before going out...but as I said it was emergency no time..still managed all right...so long as we don't hold any techs overnight in case of wolves hunting us around..
I agree with trading ranges strategy. I've been looking long and hard at weekly and then daily charts, picking ONLY those that are within a long term rising trend AND are close to resistance.If you want to be safer,maybe pick stocks that are in the midle of a range. Less likely to "drop through" support,but less reward.Look at BARC, RBOS as examples.
My new trading style works well with this one...got in and out in a few hours on Friday for +63...
This form Indpependent:
"...On the software side, both CMG and Logica have come under criticism that they too will be unable to escape the worsening telecoms environment. The valuation of both companies is linked to their respective high-growth telecoms businesses where they sell text messaging products. But both are adamant they will be unaffected, not just because text messaging is continuing to grow at a rapid pace, but also because mobile groups need to recoup their investments in 3G, and therefore need to find innovative ways of driving traffic and revenue..."
It is prudent to issue a timely warning on LOG. A Technical Analyst called Paul Rodriguez from http://www.ThinkTrading.com appeared on Bloomberg TV this morning and picked LOG as a stock exhibiting classic BEAR signs. I have had a look at the chart and a crucial support level was breached at £14.03 on 22/2/01 when the stock closed at a new low of £13.25. It has bounced off that low to close at £13.71 on Friday 2/3/01. If price heads south again and makes a lower low then we could be in serious trouble. I have the next support level at £12.18. If price breaches this support level then shorters move in for the killing. Rodriguez says the stock is heading for £10.00 level, although he did not provide a detailed technical analysis to back his forecast. Nevertheless, I think 70/30 he could be right. This could be a good shorting opportunity but only if it falls and closes below next support. Of course, if the markets turn around and begin to recover then all bets are off and it could move higher but I think this scenario is about as likely as me winning the jackpot on the lottery tonight and retiring on monday morning. Chance would be a fine thing. Take care.