It is always a good idea to go back and review your past analysis. Having commented on CCA 3 months ago the current chart shows price didn't stop falling at the lower channel boundary and the next resistance levelof $0.115 held for a few days before price fell again to lose nearly 30% from the price back in June. It went on to spike to $0.22 but whether a trader would have got a look in the door is debatable because price only paid a very fleeting visit to the high before falling back 32% to below where it opened. Not a stock I'd want to trade but for the aggressive trader who can pick those price spikes there is the potential of shirt-term 50% gains .


CCA 25Sept2020.

24 June 2020

CCA's not a stock I follow, but in response to a question I thought I'd have a look and see what the chart told me.
Price has moved up strongly since March in what is probably a Wave 1 in Elliott Wave terms. The concern here is that Wave 2 to follow usually loses about 75% of the gains made in the rise of Wave 1. CCA doesn't have a readily defined wave pattern and given its low value and generally low turnover it isn't a good candidate for wave patterns.
Price is trading in a rising channel and I'd expect to retracement of the past few days to continue with price (hopefully) bouncing off the lower boundary of the channel around $0.125 - $0.13 However, the nature of the stock means that charting predictions are less reliable than they are with a more liquid stock.
The red horizontal lines are likely natural support and resistance levels and the next level down ($0.115) seems a relatively strong level that might support price.
CCA isn't for me given its high volatility, low price and low liquidity. Price can move 30% of its share price in a day - something that equates to very high risk. Not a stock for the newbies or uninformed but for seasoned traders/investors there might be a pot of gold here (or just the rainbow!).

CCA 24 Jun 2020


Robert Norman

Phone: 0428 346 951

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