Technical Analysis of BD THAI on 16 Dec 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 "average" company - only recently it gave only 5% Cash Dividend - last four years have been Stock Bonuses.
Now to the Technicals:
It was actually a "perfect" buy on 27 Oct 2016 - when the reversal candle appeared on HIGH volume.
Market again gave an opportunity to enter in the lower twenties from 8 to 10 Nov 2016. This also validated the Support at 20.
Now, it might offer opportunity to the risky-trader (and also for 20-buyers to pyramid - discussed in http://imti77az.blogspot.com/2016/12/technical-analysis-of-bengalwtl-part.html).
How - there is a possibility, that if BD Thai can break 26 Resistance, then there is no barrier before 30-35, which offers reasonable profit potential.
With sell pressure in the market, BD Thai would probably retrace to around 23.5 to 24 on low volume - before making the next up move to test 26 Resistance. Or one could enter after break-out - but I prefer to take position before break-out point.
Stop loss if it goes below 23.
RATHER, Why not buy fundamental shares at lower price than such risky "average" companies?
Or do you want to board a "virtual" flight on Thai!!!
"Swadika"
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 "average" company - only recently it gave only 5% Cash Dividend - last four years have been Stock Bonuses.
Now to the Technicals:
It was actually a "perfect" buy on 27 Oct 2016 - when the reversal candle appeared on HIGH volume.
Market again gave an opportunity to enter in the lower twenties from 8 to 10 Nov 2016. This also validated the Support at 20.
Now, it might offer opportunity to the risky-trader (and also for 20-buyers to pyramid - discussed in http://imti77az.blogspot.com/2016/12/technical-analysis-of-bengalwtl-part.html).
How - there is a possibility, that if BD Thai can break 26 Resistance, then there is no barrier before 30-35, which offers reasonable profit potential.
With sell pressure in the market, BD Thai would probably retrace to around 23.5 to 24 on low volume - before making the next up move to test 26 Resistance. Or one could enter after break-out - but I prefer to take position before break-out point.
Stop loss if it goes below 23.
RATHER, Why not buy fundamental shares at lower price than such risky "average" companies?
Or do you want to board a "virtual" flight on Thai!!!
"Swadika"
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