First on the long term chart notice there are two important formations.
1.) A head and shoulders. This formed over a one and a half year period. Remember -- the longer the formation takes to form the more important it is.
2.) Within the right shoulder we have a triangle formation that formed over a six month period. again note the length of time in the development of this pattern
A.) Notice that prices spent a few weeks consolidating right at the head and shoulder's neckline.
B.) Prices broke out on a gap higher with good volume.
Also note the technical picture of the EMAs -- the shorter EMAs are above the longer EMAs, all the EMAs are rising and prices are above all the EMAs. This is a very bullish posture.
A.) Prices are above the upper Bollinger band. This indicates prices are a bit over-extended and are likely to move a bit lower. However, that does not mean a precipitous drop in prices -- only a bit of profit taking.
B.) The MACD as some upward room to run from a momentum perspective.
