PEIX Long

You might want to set a price alert and keep an eye on this one. We had a nice trade in PEIX before and it may be setting up for another run. For risk management and position sizing, this should be considered a speculative trade and risk management should reflect that, if it takes off the gains will take care of themselves, I believe the last run was about 500%!

 This has been the new trend is wedges, they use to breakout at the green arrow, but that very rarely happens any more, instead they go on to form a base and then take off. The same is true of bearish ascending wedges, except they form a top and it usually doesn't last as long.

 Here's the base maturing and this was about a 500% run in 6 weeks. Note that volume is correct for the triangle consolidation.

A closer look at the last 2 days shows another triangle consolidation, a breakout above the $1.24-$1.25 area may very well be worth buying with a stop around $1.16, however, I would either phase in to the position if you have to have some now fearing you may miss a gap move up and then add to it once it is moving in your favor or my personal preference, set a price alert for $1.24-ish and buy on the breakout, let the stock prove itself.