Axiata has been testing its horizontal resistance at RM5.20 for more than 1 year. If it can break above this resistance convincingly, the stock may rally to RM6.00. The target is arrived at by at the distance of RM0.80 (between the recent reaction low of RM4.40 & the breakout level of RM5.20) to the breakout level at RM5.20. At 12.00 noon, Axiata was trading at RM5.21. Is this the beginning of the next upleg?
Chart: Axiata's daily chart as at April 2, 2012 (Source: Tradesignum)
For those which like a more aggressive play, you can consider the CWs. I have tabulated the terms & valuation below.
Table: Axiata CWs' main terms & valuation
Please exercise careful discretion in this trade because the market condition is pretty uncertain. We have an upside breakout of the all-time high on thin volume & unconvincing market breath.
2 comments:
Hi Alex,
What about Maxis? is it a good idea to buy Maxis at current price?
Hi Charlie,
I think Maxis is a good stock for long-term investment. It broke its all-time high recently. Its financial performance is satisfactory & improving. It pays good dividend. See my recent post on the stock.
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