Monday, July 6, 2009

KNM 090706 : double bottom

Just a quick note that KNM showed double bottom last Friday, which is a signal of rebounce; while world market depress over the weekend. It will be interesting to see how KNM ends today.

My support line today is RM 0.75 with a variance of 1 price tick. So if it rebounces at RM 0.755, it could be a bug signal. Else if it breaches 0.745 then it could be free fall to 0.50.

Speculative up strength is 0.80 : so 0.76 to 0.8 is 5% gain, not really a huge opportunity to win lottery.

However, KNM's target buy price is actually at RM 1.10 with target compound return at 15% a year for the next 10 years. So it is also a long term keeper.

Note* Don't buy base on this note. This is a test for technical analyst believers. If you look carefully, did you see any head and shoulder pattern ?


Anonymous said...

I think your charting skills got problem KNM chart looks like game over stock to me.

Michael Tsen said...

this is not a charting skill demonstration post, its an example TA can be subjective and relying on it alone is not a good idea. as like this example too

if you want to know KNM, use the search button on top left to search all articles on KNM. ie. why a sign KNM is a fishy stock

If you really want to see what malpf's view on TA, you can click on Technical Analysis label especially on the earliest few post

Anonymous said...

Very Very interesting Chart reading skill.