Data Communications Management Corp ALERT...

originally published Tuesday, March 21, 2023

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Following a powerful high-volume advance during late February into early this month, Data Communications Management has been trading sideways in a relatively narrow range for about 2 weeks now. Superficially, after such a big advance, it might be thought that a top is forming, but this pattern has all the attributes of a bull Flag – the persistent heavy volume on the steep advance has been followed by a marked dieback as it has traded sideways, the Accumulation line has held up well, and the trading range can be seen to be tracking within a slightly downsloping parallel trend channel, in other words a bull Flag. This implies that the pattern will soon resolve into another powerful upleg that could very well be as big as the 1st upleg. Note the large bullish “dragonfly doji” that occurred about 5 days into the Flag whose intraday low so far marks the low for the pattern.

Data Communications Management is therefore rated an immediate strong speculative buy and a stop may be placed beneath the lower boundary of the Flag just in case this interpretation is proven incorrect.

Data Communications Management website

Data Communications Management Corp, DCM.CSX, DCMDF on OTC, trading at C$2.02, $1.48 at 3.30 pm EDT on 21st March 22.

Posted at 3.40 pm EDT on 21st March 22.