Please be reminded that this is NOT a ”pump and dump” motivated article nor a recommendation. It is just my comprehensive studies on this interesting company. Please seek advice from licensed investment representative for the recommendation!
Please refer to the previous articles for a better understanding on the flow of my comprehensive studies:
https://klse.i3investor.com/m/blog/fatprofitstock/2020-04-15-story-h1505985729-SERBA_HAS_WON_A_BIG_CONTRACT_NEXT_IS_THIS_STOCK.jsp
• Same story of MINETECH but today just to update on technical analysis view. Tomorrow could be the day to meet my target price of 33sen. BUT if not tomorrow, it could be Monday, next week. My 2nd target price of 43sen -54sen also still on the track by 2H this year!
• Before that, just to make clear on the issuance of ESOS of 5sen. This could be a reward or token appreciation from Dato' Awang to his new colleague in Minetech. It was just 38.2 million shares only, which is just 3.9% of total number of shares and in fact, it is just 38% of total average volume traded in these past two weeks. It can be well absorbed by operator, Chairman himself and the market too! So, it WILL NOT give any impact to the share price at all if selling in ESOS takes place in 1 day. It can be even well absorbed if the selling splits into many days!
• Judging from the weekly chart below, the share price is on the way to complete the third candle of "three white soldiers" candlestick pattern tomorrow. It means a bullish outlook and remain intact!
• And again, like I said earlier, don't judge the share price direction by its RSI when it is in the trend! Go take class and learn technical analysis properly. In this case, Minetech is in the uptrend while RSI in an overbought area. The RSI can stay in that area for as long as it can when the share price continue its uptrend or push even higher!
• So, to trade this uptrend stock, we have to use moving average lines. The shorter the better to catch the reversal of the trend. For now on daily chart, Minetech's share price has still been trading above all important 5, 20, 50 and 200-day S/EMA lines.
• The share price closed with another breakout today at 26sen, accompanied by another strong volume! The uptrend remains intact with the next resistance at 30.5sen.
• For an indication of Minetech' share price, the 5-day line at 24sen acts as its momentum support while 20-day line at 18.5sen acts as a trend reversal. Therefore, a break below 24sen could indicate a pause in its uptrend and may turn into consolidation between 18.5sen and 24sen. Meanwhile, a break below 18sen could indicate the share price would turn into bearish in the short term.
• So far, money inflow into the stock has still been in the positive trend. Meaning that uptrend in the share price has been supported by smart money, aggressively been collected by syndicate/operator and the Chairman himself after announcing another share acquisition yesterday at a high price! This could indicate another potential rally ahead. That is why they have been accumulated this stock aggressively everyday!
https://klse.i3investor.com/blogs/fatprofitstock/2020-04-16-story-h1506012667-THIS_STOCK_COULD_SKYROCKET_TOMORROW_AFTER_BREAKING_ABOVE_IMPORTANT_LEVE.jsp
