TA can be applied to penny stocks (but caution again if the penny is fluctuating in a tight range like always in 1-2 cents).
Prices and Volume can be applied. Indicators and oscillators CANNOT be applied.
1. Trend lines
2. Support & Resistance
3. Moving Averages
4. Volume.
When playing on news, it is always wise to sell on news, buy on rumors.
If it is news driven, then TA is used as a target to sell out and to buy in. Penny stocks can really move very fast if key resistance is broken.
E.g.Digiland looks like a flag, but the confirmation break is weak, therefore, from experience this would likely evolve into other formation. So, we need to observe more. Resistance at $0.06-0.065 and support at $0.03-0.035.
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