Tuesday, January 22, 2008
Well, at a time like this, seriously, all stocks are not in good shape. Chartwise, it definitely bad. The selling will continue so long as the problems are not solved. SembCorp is not the only one showing such negative signs.
A few good things to point out on this counter would be that, it's range tested Fibbo 38.2% at around $4.29 and rebounded. However, the question would be, could this price be a strong support and can the price bounce along it?
Based on current situation, it's difficult. All eyes would be on the Feds. The interest cuts may not be a good thing in the long term, bringing in the concern of future inflation rates.
Another point is that, the price range is still within the flag, within the range as seen from the 2 lines drawn diagonally downwards. It's still in the range, not sure if it's a good thing also though. But at least, it did not fall out of the flag in today's trade, despite testing it.
At the current moment, it'd be better to just watch everything unfold and prepare to respond when there is a bottom, reversal signal.
Just be patient.
1 comments:
By the stock chart we can tell the stock has had a really nice run.
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