Technical Pulse: Amara Limited April 12, 2017 159
Amara Ltd – Daily timeframe
Current Sentiment: Bullish
Support 1: 0.505 Resistance 1: 0.570
Support 2: 0.500 Resistance 2: 0.580
Price began moving in a lively uptrend after the bullish breakout above the 0.410 range high occurred on 06/02/17. Since then, volume has been picking up noticeably as price continued to break new highs.
A correction only appeared recently after price was rejected by the 0.540 resistance area on 30/03/17. However, the correction seems to be short-lived as the confluence of 20 day moving average and 0.505 support area readily halted the sell-off.
Additionally, the bullish rejection off the support area resulted in price breaking above the pullback line with surging volume on 11/04/17 suggests the resumption of the uptrend next.
Expect price to continue breaking new highs next as it targets the 0.570 resistance area followed by 0.580.
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Jeremy Ng
Research Analyst
Phillip Securities Research Pte Ltd
Jeremy specialises in Technical Analysis and has 10 years of experience in studying price action. His areas of expertise include intermarket analysis on the equities, currencies, commodities and bonds market.
He is also a regular columnist on The Business Times - every Monday ChartPoint column.
He graduated with a Bachelor of Science in Banking and Finance from University of London.