The share price returned to 0.5 sen below the day's reference price by the end of the market day, but the strong intra-day performance suggests that bullish sentiment may ensue in subsequent sessions.
At present price levels, there appears to be room yet for the bulls to roam before the share price hits an obstacle at 23.5 sen.
There continues to be positive sentiment over the stock as the share price continues to trade higher than the key simple moving averages (SMA).
The ascending trajectory of the SMAs suggest continued lift on the price chart while the 50-day SMA looks poised to rise above the 200-day SMA in a bullish crossing.
The technical indicators remain at healthy levels. The slow-stochastic momentum index remains near the mid-line at 48 points while the 14-day relative strength index remains at a healthy level of 56 points.
The daily moving average convergence/divergence line, which slipped slightly, currently sits atop the signal line. Short of a convincing breach below the signal line to give a “sell” call, further advances could see the MACD return to a growing trajectory and reflect the return of positive momentum.
Buying interest in the stock will need to grow over coming sessions to continue the current rally. At present, trading volume continues to be slightly elevated following the massive surge of buying interest about two weeks earlier.
With resistance pegged to 23.5 sen, next resistance can be found at 27 sen. Support for the counter rests at the recent low of 12.5 sen while further support is found at 9.5 sen, near the 200-day SMA.
The comments above do not represent a recommendation to buy or sell.
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