Axion Power International, Inc. (NASDAQ:AXPW), an advanced lead carbon battery manufacturer, is clearly suffering from the anxiety of getting delisted by NASDAQ if the management fails to get the price back above $1 very soon. The volume of 36 million yesterday against the daily average of 6 million only suggests that such an attempt may be taking place.
Axion Power International, Inc. (NASDAQ:AXPW) is trading pretty close to zero, making it hard to believe that the stock has a life high level of $600. That high was registered in June 2004, in the time of listing. That level was obviously unsustainable for the stock and it came down to form a range in the wide band of $115-$335 but the series of lower highs and lower lows, was already established. The range clearly suggested the highly speculative nature of the stock and that continued as the bears kept their grips tight enough.
The lower the price came, the more the momentum accelerated. It was clearly evident from the difference of the intermediate lows. The difference between the 2005 and 2006 lows was about $30 but the difference between the 2006 and 2009 lows was $40. Clearly the bears wanted more from single opportunity. From 2011, the drop took an impulsive nature, which could be labeled in waves.
In the 1st wave, the stock lost about 80% of its value in about a year, calculating from the high to the low. After a sharp month long bounce, the 3rd wave took control and the stock lost about 87% in the next 2 years. The 4th wave upward correction looked very similar to the 2nd wave but the following Extended 5th wave broke down the 5 year long channel on the downside. The drop took an angle of nearly 90 degrees and the price came down to $0.03 from $10 levels in roughly 15 months. If any short covering emerges now, clearly the biggest resistance along with the initial target would be the internal 4th high at $1.