Lithium One

There has been much discussion of later with regard to Lithium. Lithium being a key material in the Lithium Ion batteries we all are becoming more and more dependant upon. Lithium One is a juniour listed on the venture exchnage in Canada. Thought I woukld examine a stock further off the main path. Clearly the price did well in the commodities run-up this past fall. It faltered badly in Februaury and March, but not too badly. the stock has clearly fallen back to the 50% retracement level, RSI and MACD have both turned up, and today the stock price broke out of the support zone it settled into. After these past number of weeks of crisis the previous bullish path looks ready to resume.

TSX March 22 2011

Looking at the weekly chart for the TSX clearly shows that the bullish trend from the lows of March 2009 is still intact. A movement below the trend line at 13,100 would be troubling. The events of the past few  weeks came close to testing the lows, but did not break the trendline.