PA Resources 04.12.2007

Par is a stock that has been recommended by the finance institutions for buying for a long time now. Is it likely that the stock will start rising now? There was a top in stock price 7th of November this year, the top was not the highest high but it is significant as it define the trendline. Since this top the stock price has fallen quite significantly and has found support at about 46 NOK. Combining the price chart and RSI chart we see that there is good correlation. It is also clear that the RSI value has risen lately while the stock price has been moving sideways . This must be seen as a good sign but leaves also room for a small price fall. ADX is high indicating strong trend, but we also see that -DI is decreasing which is a good sign. Overall it seems that the stock has got a minimal downside (if the support level holds) and potential target at about 61 NOK.