DNO 24.10.2007

As we can see from the price chart there has been a lot of negative news for DNO the last few weeks. The Turkish army is lined up along the Kurdish boarder ready to attack PKK guerrilla bases. What will happen politically is difficult to tell but here we will look at the stock from a pure technical analysis point of view.
The stock price has found some support at the support line around 9,90 - 10.00 NOK. What is concerning is that the rsi value has fallen through the support line indicating a further possible fall in stock price. There is room for a small fall to the support line but if this support fails the stock price can soon fall down to 9,60 at least. On the other hand if the stock price rise the potential is up to about 11,30 NOK. ADX is showing increasing values indicating that the price is moving towards a trend. Hopefully ADX will show lower values tomorrow indicating that this down movement in price might come to an end for this time.