Wednesday, June 06, 2012

MPHB may have a bullish breakout

MPHB is breaking above its horizontal resistance at RM3.26-3.27 (see Chart 1). If it can recruit sufficient buying support & break clear of the strong horizontal resistance at RM3.30-3.40, this stock can then test its next strong horizontal resistance at RM4.00 (see Chart 2).

Chart 1: MPHB's 120-min Chart as at June 6, 2012_11.00pm (Source: Quickcharts)

Chart 2: MPHB's monthly chart as at June 5, 2012 (Source: Tradesignum)

For the aggressive traders, you can also ride this play by buying into its CWs, which I have tabulated below. You must be mindful that CWs are leverage instruments that magnify your result. If the trades work in your favor, your result would be amplified. If not, the loss would similarly be amplified. In this challenging time, you should be careful not to take on too much risk. Having said that, the CWs of MOHB look quite attractive.

Table: MPHB's CWs' main terms & valuation

1 comment:

Political Crow's Nest said...

Can you give your current valuation of MPHB then, Alex? thanks