Here’s a chart of SQNM for your consideration.
My prediction regarding this stock is that there will be a short term bounce up off of the 200 DMA because the technical indicators all indicate that SQNM is oversold at the moment. If that happens I would short the stock at what I think will be an area of resistance, namely the $7.40-7.50 area, or even as high as $8.
Overall, the diamond top pattern is considered a bearish signal and often indicates a possible reversal of the current uptrend to a new downtrend. I think there are good chances that this stock will break firmly below its 200 DMA and test lows as indicated by the highlighted area.
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