Home > Stock Charts > Tanzanian Royalty Exploration Chart (TRX)

Tanzanian Royalty Exploration Chart (TRX)

Chart of TRX at close 3-16-12

Chart of Tanzanian Royalty Exploration (TRX) at close 3-16-12 with Andrew's Pitchforks, upper and lower triggers. Notice the buy signal generated on 12-2-11.

It’s interesting to me how much information prices reveal. I have been listening to Jim Sinclair of Tanzanian Royalty Exploration (TRX) talk about gold and gold prices for some time. He says quite a few thing that The Powers That Be (TBTB) don’t like, including pointing out the inevitability of the failure of the fiat money system and its replacement with some kind of gold standard.

So, despite the fact that TRX has fallen far from its highs, I have been interested in buying some stock in the company, if for no other reason than the fact that I have confidence in Jim Sinclair.

But, I have an impulsive nature. Could be because of my ADHD. So, I have learned over the years to try to not make rash decisions. One way to ensure that I don’t jump into a stock blindly is using charts.

The chart on TRX is pretty interesting. I have drawn two Andrew’s Pitchforks – one descending and one ascending. There is also an upper price trigger and a lower price trigger. Notice that on 12-2-12 the upper price trigger flashed a buy signal. You can see what happened since then – the price has been climbing fairly steadily.

A couple of other interesting things about the TRX chart:

  • It has been riding pretty close to the bottom of the pitchfork. It may be that I haven’t drawn it quite right.
  • The price hasn’t gotten near the top of the pitchfork, so it isn’t anywhere near overbought yet.

If you’re already neck-deep in TRX stock, then this probably is good news. The stock is gradually increasing in price again after a pretty significant decline.

If you’re thinking about buying some TRX stock the proposition is more risky. Perhaps TRX stays in the channel for a long time. But, who knows, it could drop out. The sell trigger is pretty far beneath the lower part of the fork, so if you wait for it to violate it, you’ll be out some money.

But, I’m not a professionally licensed financial anything. I’m just a guy interested in the markets who isn’t giving you stock advice. So consider this entertainment and do your own research.

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