by Jeff Pierce, Zentrader
Yesterday’s sell off in eOn Communications Corp. (NASDAQ:EONC) has taken this stock back to it’s 40 level on RSI. After such a strong move this typically supports a stock and it finds a bottom to at least retest the highs. This stayed overbought according to RSI for 4 months and some would say this is ready for a big pullback, but I disagree. Today’s pullback should not be surprising at it needs to reset some of the momentum it has had since December. I would say worse case scenario has this going to $4.45 before the uptrend resumes. Latest stock chart follows the Read more >> jump.
