Golden Energy Ltd – Daily timeframe

*Golden Energy Ltd will be added into the Phillip 20 Portfolio once the trade is triggered

Current Sentiment: Bullish

Support 1: 0.380                   Resistance 1: 0.465

Support 2: 0.365                   Resistance 2: 0.485

Price has been moving in a sharp decline since February 2017 but some signs of a bottom are appearing. After piercing below the 0.380 support area recently since 28/07/17, price was relentlessly held up, proving the importance of the 0.380 support area.

The hammer rejection off the 0.365 low on 28/07/17 shows a possible double bottom formation here. Moreover, the subsequent bullish follow through on 01/08/17 broke price substantially above the downtrend line, 20 day moving average and 0.405 resistance area indicates a strong sign of reversal. In addition, the 28/07/17 bullish break was backed by a significant amount of volume after a prolonged period of relatively low volume suggests a rising interest.

Expect price to rise next to test the 0.465 resistance area followed by 0.485.