Last night, BAC rallied away from the danger zone and managed to survive even though the Dow plunged in the last 4 hours. However, judging it's strength in terms of supply and demand point of view, supply is still heavy and persistent. If this counter is still bullish, the stock needs to show more rallying power to free itself from the bottom edge of the trading range. An ease of upward movement where a long up bar would conclude that demand is overcoming supply and the stock is ready to trend higher. The only relief I got from last night's action was when Dow broke down further in the late hours, BAC did not gave up all of it's gains it received during the opening bell but only fractional of it was shed. (See the highlighted blue oval)
On another note, I saw this piece of news on the internet which might be a good thing to know.
Bank of America Corporation (NYSE:BAC): Insiders purchased 924,870 shares in the past 6 months, against insider sales of -627,610 over the past six months. Net transactions were 7 for the six month period. Insiders own 0% of the outstanding shares, of which there are 9,790,472,000. The stock recently traded at $10.00 and its market capitalization is $101,520,000,000.
Ronald K
