Darkstar Ventures, Inc. (DAVC:PK) taken the market by storm
Darkstar Ventures Inc (OTCMKTS: DAVC) has taken the market by storm on announcing plans to merge with Samsara Luggage. Shares of the company have exploded up the charts on the news.
DARKSTAR VENTURE PRICE ANALYSIS
A merger with Samsara could not have come at a better time as the stock has continued to struggle for direction after succumbing to bearish pressure in 2018. The stock has since taken out the $0.01 psychological level, arousing suggestions it is a potential break out play.
While the stock remains vulnerable to further drops given the underlying long-term bearish trend, the short-term momentum has turned bullish. The underperformance of the past year means the stock will have to take out the $0.02 resistance level to avert further slides.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 0.01.
The projected upper bound is: 0.03.
The projected lower bound is: 0.02.
The projected closing price is: 0.03.
A big white candle occurred. This is generally considered bullish, as prices closed significantly higher than they opened. If the candle appears when prices are “low,” it may be the first sign of a bottom. If it occurs when prices are rebounding off of a support area (e.g., a moving average, trendline, or retracement level), the long white candle adds credibility to the support. Similarly, if the candle appears during a breakout above a resistance area, the long white candle adds credibility to the breakout.
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 23 white candles and 16 black candles for a net of 7 white candles.
An engulfing bullish line occurred (where a white candle’s real body completely contains the previous black candle’s real body). The engulfing bullish pattern is bullish during a downtrend. It then signifies that the momentum may be shifting from the bears to the bulls.
If the engulfing bullish pattern occurs during an uptrend (which appears to be the case with DARKSTAR VENTURE), it may be a last engulfing top which indicates a top. The test to see if this is the case is if the next candle closes below the top of the current (white) candle’s real body.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 61.5207. This is not an overbought or oversold reading. The last signal was a buy 11 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 77.63. This is where it usually tops. The RSI usually forms tops and bottoms before the underlying security. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 2 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 155.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 2 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 8 period(s) ago.
Rex Takasugi – TD Profile
DARKSTAR VENTURE closed up 0.015 at 0.025. Volume was 1,047% above average (trending) and Bollinger Bands were 692% wider than normal.
Open High Low Close Volume___
0.010 0.026 0.008 0.025 58,505,352
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 0.01 0.00 0.00
Volatility: 1,316 700 442
Volume: 29,982,070 8,162,911 2,721,476
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
DARKSTAR VENTURE is currently 487.6% above its 200-period moving average and is in an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. Our volume indicators reflect very strong flows of volume into DAVC.PK (bullish). Our trend forecasting oscillators are currently bullish on DAVC.PK and have had this outlook for the last 8 periods. Our momentum oscillator is currently indicating that DAVC.PK is currently in an overbought condition. The security price has set a new 14-period high while our momentum oscillator has not. This is a bearish divergence.
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