Yesterday was the second in row trading session which ended with a red Doji on the price chart of Green Technology Solutions Inc (PINK:GTSO) stock.
This has not been a signal, but a confirmation of investors' strong uncertainty towards the next move of the share price.
According to technical analysis, Doji is formed when a security's open and close are almost equal. It presents a situation in which the supply and the demand for a certain stock are near the equilibrium, which may lead to a change in the direction of the trend.
On Tuesday the red cross on the price chart of GTSO had not been the break event point for the share price, therefore it may be expected that this from yesterday could be the turning point.
It is interesting to see one more riveting detail on the price chart of GTSO. Since the beginning of this month, MACD skims over the red signal line. Being all the time on the edge to cross it, it still remains above the red formation. Today's trading session will show if that was a signal that the bullish mood on GTSO may soon return with a strong prevail over the bearish one.
On Monday, the company announced its financial report for the quarterly period ended June 30, 2011.
As if to dispel investor concerns towards the fair value of the shares, Green Technology Solutions Inc. made a release yesterday. The company stated that its “rare earth and precious metals development plans brightened last week as the prices for gold reached a new high of $1,800 per ounce”. Looks like the outlined company's potential has been useless for a better performance of the stock as well.
Most probably, not as much the presented market potential, but the remainder of the credit facility with Wasserman Investments Corp. was able to rush the company's stock. A few weeks ago, GTSO negotiated fresh financing of $3.25 million. This will not only enable the company's operations, but it can even improve the structure of the balance sheet of Green Technology Solutions Inc.