Interactive Investor

Three AIM beauties poised to keep growing

27th September 2016 10:01

Alistair Strang from Trends and Targets

Highland Natural Resources

We're revisiting Highland due to a strange anomaly which has made itself known. Essentially, we've three arguments proposing action very soon on the share price.

Two of them state HNR needed to close above 40.314p before we can suspect rises; the other (the longer-term one) demands it needs now close above 42.791p. On 26 September, the share closed the session at 40.5p!

Our inclination is to compromise and suggest anything near-term above 43.88p should challenge an initial 51.25p, but the longer-term secondary now calculates at 62.75p. Our original article is here.

If it's a trap, the share price now need slither below 29p to cancel the potential growth potential. Potentially. Importantly, last time we'd mooted a suggested bottom of 23.75p, but the lowest the share achieved was 26p - so perhaps some real strength is present.

Forbidden Tech

We've been emailed a few times about Forbidden Tech recently. The current situation is of the price needing better 23.75p ('blue') to break above the "big picture" downtrend. As a result, we need to look for arguments capable of challenging such a level.

Thankfully, there's one obvious thing and it's not shown clearly on the chart.

In the event of this share managing to close above 12.68p, we're calculating an initial growth cycle to 20.6p (probably capable of challenging 'blue' by the end of the year) with secondary at a crowd-pleasing 34.75p.

During September, the highs have shown how important our 12.68p thing is, but, from a "big picture" viewpoint, closure above is liable to be crucial for a strong future.

As always, there's a 'red' line and it's at 7.5p presently. If the price moves below, we'd suspect running shoes would not be forbidden.

Sound Energy

As can be expected, we've zero idea what the heck has happened to provoke Sound's share price acrobatics but, if it now betters 96p, growth to 113.5p looks about right. Secondary is 124p, if bettered.

And if - somehow - the share were to better such a point, you're on your own, as it exceeds logic.

Finally, we're taking a look at AIMs showing near-term possibilities, as the AIM market has now made it above our growth level of 813 points. This has the implicit suggestion that movements against positive shares are liable to outperform.

This article is for information and discussion purposes only and does not form a recommendation to invest or otherwise. The value of an investment may fall. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.

Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.