Know your stock (7000)

I like to start a series of posting called "Know Your Stock" today. The individual post shall be distinguished merely by the stock code of the company covered, like (7000) for today's posting. The name of the stock shall be revealed at the end of this post, for a bit of suspense if you like.

This company is involved in the provision of air transportation & related services. The meteoric rise of its share price is an envy of all those who did not have the foresight of buying the share earlier. It also proves that it is never too late to buy into any stock even when it has gone up a lot (disclaimer: that may not always be the case). But, after a long run-up in price, the share is beginning to show signs of trouble.

It has broken below its long-term uptrend at RM12.60 about 2 weeks ago. While the share price (RM12.30 as at August 23) did not drop very far, it has failed to climb back up above the uptrend for the past 2 weeks. The warning will turn to Code Red if the share price were to drop below the RM12.00. Take a look. With enough hints, you would be able to guess what stock is this.

















Chart 1: Weekly chart as at August 23


















Chart 2: Daily chart as at August 23

The name of the stock is Transmile Group Bhd.