In August, it was announced that E&O has disposed of its entire 50.8%-stake in PPedana for RM2.90 per share to a group of investors form the Middle East (go here & here).
Yesterday, EPF has announced that it has acquired a 5.67%-stake in PPedana on January 18th. With this announcement, the share price of PPedana rallied up today to gain 38 sen (or, 10%) to close at RM4.24. This rally has caused the share price to break out of the ascending triangle pattern, with the breakout level at RM3.94-96. With this breakout, the stock could continue its prior uptrend & go higher.
Nevertheless, the current market condition may not be conducive for a sustained rally in the stock. In the event of correction, I believe PPedana could be a good Trading BUY at RM3.94-4.00.
Chart: PPedana's daily chart as at January 29 (courtesy of Quickcharts)
1 comment:
Sorry but I have differing view. Stage analysis-wise I reckon PPEDANA is in Stage 3 (Topping Phase) and already showing sign of moving into Stage 4 (Declining Phase). Any stock in Stage 3-to-Stage 4 is a no-no for me. Just my opinion, though ;-)
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