Before we get into the nitty gritty, I must explain the picture. I made some fatuous comments about the mnemonic for our victim this week, UKOG, and related to the often crude banter of Messrs Clarkson, Hammond and May. Suffice to say the offending paragraphs have been deleted, but I have been allowed to keep the Top Gear image. Que sera, sera.
Anyway, onwards and sideways, as Comrades Corbyn might say.
Currently, there are no signals UK Oil & Gas PLC (LON:UKOG) share intend to punch above its weigh.
The price needs better 2.435p (the blue line) before I'd dare think it's about to show proper movement.
As a result of this big picture trigger level, I therefore need search for early signs something good is coming.
At time of writing the share was trading around 1.85p. It needs to better 2p to then propel it to 2.3p.
In itself, this is obviously fairly useless, but would give the share an opportunity to actually close a session above 2p. It also makes my secondary target 2.75p almost inevitable.
Of course, achieving 2.75p would also give the share the opportunity to close above the long term downtrend (currently 2.435p) and start a new movement cycle.
This is one that punctuates at 3.5p, but realistically a longer term 5.35p would be viewed as the ruling attraction.
And that's it. According to my software the price can go no higher.
Except, of course, it can.
It's simply the case historical movement cycles do not give me the numbers.
But if UKOG produces something game-changing, I would expect the share price to perform accordingly.
For now, it's really pretty boring with a pretty solid red uptrend decorating the screen at 1.22p.
I'd actually be alarmed now if the share traded below 1.55p as this would signal weakness toward a trend testing 1.25p.
If such a level breaks then it’s on to 0.9p to match the lows at the end of 2015. Below 0.9p and you're on your own as again as I run out of numbers.
Alistair is the founder of www.trendsandtargets.com