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Tuesday, April 15, 2014

Dsonic: Where is the support?

Dsonic broke its strong horizontal support at RM3.50 this morning. It broke its psychological support at RM3.00 this afternoon. It is now rebounding off the horizontal support at RM2.70. Is the worst over or has it begun? Who knows...

If you are really nimble and you can take the risk, the RM2.40 level is a good level to take a punt on this stock. Still I would be quite surprise if the stock would break through 2 support levels in one day. Thus I believe the RM2.70 support will hold for now.

My earlier caution for not-so-good traders still remain. Be careful with Dsonic.


Chart: Dsonic's daily chart as at Apr 14, 2014 (Source: Tradesignum)

Note:
In addition to the disclaimer in the preamble to my blog, I hereby confirm that I do not have any relevant interest in, or any interest in the acquisition or disposal of, Dsonic.

6 comments:

luckystock2 said...

Hi Alex ,
Can you comment on LONBISC technical outlook ?
Thank you very much !

Chow said...

Hi mr alex.Do u think that dsonic is good to hold for long term at this price rm3? Is it overvalued at this price rm3? Pls share ur view.thanx

lai said...

Hi Alex,

Am i right to say there is a double bottom on Malton weekly chart?

Thanks.

Alex Lu said...

Hi lai

Malton is now pressing against the line connecting the peaks for the past 3 years. If it can break above RM1.05, it may shoot to RM1.30-1.45.

Alex Lu said...

Hi luckystock2

I think the technical outlook for LONBISC is positive. Its next resistance is at RM1.00. However, it is now consolidating its recent gain and may pull back to RM0.80.

Alex Lu said...

Hi Chow,

Please approach Dsonic from a trading perspective. The way the stock zapped up/down and the way the management announced goodies, you can only get the sense that someone 'make hay while the sun shines'.

In such as a situation, you should not think long term for this stock.