Wednesday, June 08, 2011

PChem may have broken its uptrend line at RM7.10.

PChem dropped marginally below the medium-term uptrend line support at RM7.10 yesterday. Today, it pulled away & traded at a low of RM6.97. If PChem cannot recover back above this uptrend line quickly, its uptrend would be over. In such a scenario, I would cancel the earlier trading BUY call and instead recommend a SELL for this stock. (Note: Even if PChem failed to recover back above its uptrend line, PChem- being a GLC- is likely to drift lower instead of dropping quickly. That's one of the benefit of being a GLC stock. You can always count on the support from local funds.)


Chart: PChem's daily chart as at June 8, 2011_3.30pm (Source: Quickcharts)
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6 comments:

  1. IvanSunday, October 09, 2011 12:11:00 PM

    Hi,

    What is your view on local market after the budget 2012?

    Frankly speaking, I don't see any friendly budget which was been say by PM. Thx

    ReplyDelete
  2. Alex LuMonday, October 10, 2011 10:23:00 AM

    Hi Ivan,

    I agree. Then again, I didn't expect much.

    ReplyDelete
  3. IvanMonday, October 10, 2011 12:05:00 PM

    Hi Alex,

    What are your expectation for pchem counter? Where is the support and resistence?

    ReplyDelete
  4. IvanMonday, October 10, 2011 12:06:00 PM

    Will pchem move toward RM6 ?

    ReplyDelete
  5. Alex LuMonday, October 10, 2011 12:16:00 PM

    Hi Ivan,

    The resistance is at RM5.80, RM6.00 & RM6.20. Will it go up to test these levels? I don't know.

    ReplyDelete
  6. IvanTuesday, October 11, 2011 2:51:00 PM

    Thanks Alex for your reply.

    Regional mkt up today. Thx to DJIA +330 yday. Shall we name as techinical rebound?

    ReplyDelete