In the last couple of days, investors could discern a considerable rise in the trading volume of Broadcast International, Inc. (OTC:BCST). Compared with the daily average volume of 50 thousand shares, the volume generated in the last session was ten times higher, while the day before it was six times higher.
Near the end of the session the price of BCST shares surged to $0.74, but went down to $0.65 at the closing bell. Still BCST finished 20% higher than the previous close.
BCST finished right at its resistance which has been holding for more than a month now. The shadow of the last candlestick, however, breached not only the resistance, but also the 50-MA. After this move the MACD indicator bounced off its moving average, which is in general a bullish signal. In fact, there is a positive divergence between the climbing MACD and the consolidating BCST.
However, the short-term moving average still holds the bearish cross, which means that more buying pressure is needed to point in favor of the stock.
There was no officially announced event that could have caused the increased trading activity during the last couple of sessions. Apparently, something is stirring behind the curtains of BCST that is provoking investors’ activity on the market.
