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Sunday, February 20, 2011

Most of the O/G counter are bullish but why Alam is left out?



Observation
1) Trendline - Downtrend ( Bearish)
2) HH - Formed lower low at 1.04 ( Bearish)
3) MACD - Bearish and waiting 4R1G signal on Monday if it close above 1.12 to reflect a green signal
4) RSI - Rise from 37% to 42% ( Slightly bullish)
5) ADX - Momentum weak and Bearish
6) Candle Stick - Formed a Harami Cross and need to have a white candle on Monday for Bullish Attack

Conclusion
Do not go into this bearish counter eventhough it is cheap and wait for a clear picture before going in. Remember Technical Analyse is to approach counter with high possibility to bullish rather than collect cheap waterfall stock which could turn out to be deadly like catching a falling knife.

Entry Price - 1.13 ( Formed 4R1G and Bullish Harami)
Stop Loss 1.02
Take Profit 1.25 (10.6%)

Daily Buy Call in Forum..  (Do not forget to view here for daily Stock Picks)
http://edwinextremebullrun.blogspot.com/search/label/FORUM

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