TAG OIL: February 3, 2010 Update
TAG OIL opened yesterday at $3.08 and immediately sold down to $3.03. However, the great run that this stock has seen for the past three months kicked back in and by 10:34AM the stock ran up to trade at the high of the day and a new all time high of $3.55.
I have attached a closing chart and have drawn in a channel beginning on December 16 as shown by the solid RED lines.
As strong as the TAG OIL move has been, I am always looking for such dramatic moves expecting retracement of some of the gains. As a strictly technical opinion I fully expect that tomorrow may see TAG OIL trade higher before retracing this weeks gains and possibly trading down to the $2.75 level. As the stock has shown such bullish moves during the past few months I fully interpret any pull-back as a great opportunity to buy stock or to add to existing long positions.
