Pinnacle Energy, Inc. (OTCBB: PENC) continues to perform as expected. The stock price, as expected, has been bouncing nicely off lower support and is just a penny and a half off the upper boundaries of our ascending triangle formation.
We have reached our first traget of $1.20 (Tuesdays Post - “A break of that level (currently $1.20), look for $1.25 followed by $1.30 and new all-time highs.”) and are watching for the break of $1.20 as mentioned last week.
PENC stock price has broken above the upper symmetrical triangle trend line and could be headed for new highs.
A break above $1.19 will take PENC back to $1.25 followed by $1.30 and a new 52 week high above $1.40.
Pinnacle Energy Corp. (OTCBB: PENC) is an independent oil and gas producer focused on acquiring and developing mature oil & gas producing assets. Pinnacle Energy Corp. is headquartered in Calgary, Alberta, Canada.
PENC.OB stormed out of the gates on Tuesday morning moving up quickly from its opening price of $.97 to an intra-day high of $1.06.
After that, the stock continued to dip minutely and then rise back up to test the $1.05 level a few times but just couldn’t seem to break through. When all was said and done, PENC.OB ended up closing green at $1.045 for gains of 7.7%.
If PENC.OB pushes off the blocks on Wednesday as it did the day before, the stock should finally bust through $1.05 and then $1.06, which would be a very bullish indication of what’s in store for the rest of the trading session. I can then see PENC.OB charging up even higher into the $1.08 - $1.10 range if the aforementioned resistance levels are broken and we see volume at least in the 50K to 100K range.
However, if PENC.ob happens to begin slipping back into sub-dollar range as it has the past 4 trading sessions, you may want to rethink your strategy here as the stock has not wanted to go lower than $.94 recently and move that far south could spell a loss for many. You can get back in on the way up if this unfortunately happens to be the case, but it doesn’t seem like many people are in here under $.94. Good luck everybody.
PENC.OB is testing the $1.06 level again in early trading and the stock has already traded more than 7K shares just 15 minutes into the day.
Despite analyst concerns that decreased energy demand will hold down energy prices going forward, PENC.OB is such an emerging growth opportunity, that even if prices to continue to dip, we could still see some signficnat improvement out of the company both from an operational/financial and stock market perspective.
PENC.OB just recently acquired gas and oil producing wells in the U.S. and is poised to help decrease America’s reliance on foreign oil if they can start mass producing. Again, if we can punch through recent resistance at $1.06, I think that’s a very bullish sign of a run up at least to around $1.08 - $1.10.
