Technical Analysis of Confidence Cement on 25 Nov 2016

Technical Analysis of Confidence Cement on 25 Nov 2016

This is no buy/sell recommendation - just a trial to see if Technical Analysis (works to an extent) in Dhaka Stock Exchange.

Fundamentally, it is an "OK" company - last three years, it has been giving at least 25% Cash Dividend.

Technically, daily chart is looking like a "flag".


Such formation gives an approximate measurement technique - if it moves up with volume from 108-110 level, then it could go up to ~150 (130 is another major Resistance too).

It is calculated as such - Confidence Cement moved up from 87 to 130 -> 43 points.
Next move from 108 would result in 151 (=108 + 43).
* Note - Ignored the ex-cash Dividend


For Risk-takers: Taking early position with possible buy around 110 (stop loss if it goes below 108).
For Risk-averse traders: Take position once it breaks up with High Volume (stop loss if it goes below 108).

Let us see what happens . .