PEIX was one we use to follow a lot bak when the C&D trades were popping like popcorn. This current move is very hard to buy, but PEIX (as a speculative trade because of price) should absolutely be put on a watchlist for a pullback entry, it looks like it has a LOT of upside left, in fact it looks like it has only just started.
PEIX is a mature version of UNG, all the same dynamics are in play in both. Look at the recent volume, that is not smart money investing, that is smart money telling the technical traders that PEIX is in play as the stock moves from stage 1 accumulation to stage 2 mark up and the best way to make that advertisement has always been to send a Technial trader's "Volume Surge Scan" in to overdrive as they still believe this is smart money buying.
Like URRE and currently UNG, the accumulation started month ago, it isn't easy to move a daily chart in to a leading positive divergence, contradicting price, without a lot of accumulation.
Here's the rough daily range, much like UNG now, except a bit more mature. The volume spikes aren't hard to create for a skilled market maker, especially in a cheap stock like this-these huge green bars are an advertisement to Technical Traders.
As you can see my crossover screen gave a false crossover which was not confirmed at the red arrows, a more recent one was confirmed at the white arrows. The yellow 10-day moving average will move up pretty fast, but that is where the first pullback should occur and that's where PEIX is worth a look as a long trade. The price pattern implied target is $8.00 so a speculative buy around the 10-day moving average looks pretty good.
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