Thursday, October 22, 2009
Pulmo Biotech, PLMO rallies after two announcements
The first announcement was made Oct 20 at 4:10pm and the second, Oct 21 at 4:10pm (see Yahoo! PLMO headlines for more details). For the purpose of these technical analysis posts, it does not matter what exactly the positive news was. Apparently the stock rally on Oct 21 which began with a gap opening for the stock, was triggered entirely by the first announcement. Here as in other similar cases, you have a very clean environment to study market response to an isolated stimulus which is a perfectly localized excitation. The intraday chart looks somewhat similar to MING.