Swiber is on confirmed down trend now after breakout from the wedge pattern and the 200D SMA support The stock is currently trading in a “Lower Low, Lower High” down trend channel. Currently the stock rebounds to retest 200D SMA support turned resistance. Next significant support is predicted at $0.57 which is the 161.8% FR target.
Swiber is coming back to test the 20D/50D MA support and possibly the neckline of the Double Bottoms. If Swiber can stay above these supports, a “Lower High, Higher High” up trend pattern is formed but Swiber needs to clear the 61.8% Fibonacci Resistance at $0.88 first for the confirmation.
Swiber is forming a Long Term Wedge from April 2010 to Dec 2010. Current Swiber stock price is moving in a very tight range between $1.092 (78.6% Fibonacci Resistance) and $0.953 (61.8% Fibonacci Support). Also take note that the recent high from Sept to Nov is getting lower and lower. It is not advisable to take any position until there is a clear breakout for Swiber.
