Gamuda, the construction heavyweight, is coming under heavy selling today. It is now testing its first uptrend line, SS at RM4.80. Depending on the severity of this sell-down, the share price may even test the next long-term uptrend line, S1-S1 at RM4.50
At this moment, there is no news in the market that could explain the heavy sell-down in Gamuda. Based strictly on technical analysis, Gamuda share price may find support at RM4.50-4.80.
For investors who have been waiting to get into Gamuda, this could be an opportunity to do so at an attractive price. However the big price drop that we have seen so far today, it is not unlikely that the selling will continue tomorrow or even for the next few days. You would have to track the stock closely before pulling the trigger. Ideally you will try to get in at RM4.50. Is that possible? Let's wait & see.
Chart: Gamuda's weekly chart as at Nov 7, 2017_3.30pm (Source: Malaysiastock.biz)
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