Jurong Tech (J09) - A Special Request to analyse by A Reader
From the weekly chart, the long term trend line still pretty intact. It started from May 2004. This ended at $1.70 which was a powerful indicator of its support level, which had been tested twice. On the other end of the spectrum, the resistance level stands at $2.20.
Coming down to the medium pattern, the ROC and the Momentum were tilting down suggestive of a bearish environment.
Finally, in the short term, the Stochastic rebounded off its equilibrium line and RSI seemed pretty steady with +ve gradient towards 42. We can tell that these +ve effects would be dented and could not remain neutral for the following averse symptoms showed:
ADX flattened with D-ve down and D+ve up. That would seem good! But on scrutiny the D+ happened to be below D- & that was bearish! MACD looked worrying due to its uncrossed and way below the zero line. ROC though up was minus 4.
From the Big Picture, A Single Top already formed and it survived a Fake Breakdown few periods ago. The recent 2 period was a powerful White Candlestick, dramatized a BULL in action and would have been heralding his victory if not for the Doji Star. This would normally indicate exhaustion and spell a potential reversal! To further show strength in this direction was the Volume Chart confirming a low price and low volume scenario.
But please bear in mind; you need integrated components to affect the market. Namely: Fund, Institutional Buyer (Buyer/Seller Queue), Market Sentiment (Analyst report/News) & Market Structure (TA).
The rest is up to you to conjure!
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