I came across this article by TradingMarkets.com
today that listed the ACM Income Fund (ACG
) under the heading "Low-Priced Stocks Ready to Surge." I see articles periodically that combine closed-end funds with technical analysis, but I haven't been able to make the connection on how this information is useful
. I often think that it was a mistake that a CEF was included in the technical screen.
I can understand looking at a fund's market price in relation to its NAV to see if the discount is increasing or decreasing, but not looking at the market price in isolation. And as far as ACG, I'm not sure how big of a price movement a "surge" is equivalent to, but since this is a somewhat conservative bond fund, I wouldn't expect its market price or NAV to move too much over any short time period.
ACG 1-yr chart:
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