800 Super Ltd – Daily timeframe
*Entry Price: 1.11 Stop loss : 0.99 Take profit : 1.26
*800 Super Ltd will be added to the Phillip 20 Portfolio once the trade is triggered
Current Sentiment: Bullish
Support 1: 1.06 Resistance 1: 1.16
Support 2: 1.00 Resistance 2: 1.26
After a sharp plunge in price intraday on 12/02/18 with price falling 12% on the day, buyers managed to recover most of the losses, showing some sign of strength.
Price has been stuck in a range bound motion for the past six months between the 1.26 range high and 1.14 range low and the recent selloff has broken price below the 1.14 range low. Nonetheless, the long-term uptrend remains intact as the confluence of support at 38.2% Fibonacci retracement level and 1.06 resistance turned support area halted the selloff. In addition, the psychological round number of 1.00 is also holding price up.
With the strong rejection off the support area on 12/02/18, price succeeded in forming a hammer with increasing volume signals a reversal higher next.
Expect the long-term uptrend to resume next once the bullish follow-through occurs with buyers targeting the 1.16 resistance area followed by 1.26.
Note: Our current fundamental view on 800 Super is an Accumulate rating with a fair value of $1.35.