SATS Ltd – Daily timeframe (Update from 29 August 2018)
*Entry Price: 5.23 Stop loss : 4.81 Take profit : 5.60
*SATS has already been added to the “Phillip 20 Portfolio“ since 6 July 2018
Current Sentiment: Bullish
Support 1: 5.03 Resistance 1: 5.30
Support 2: 4.93 Resistance 2: 5.60
Due to the lack of bullish follow through after the last update, price continued to correct lower. Nonetheless, the 4.93 support area was strong enough to halt the selloff again this time. Price did initially break below the 4.93 support on 18/09/18, but the bearish sentiment was short-lived. Price rebounded the following day sharply justifying the 4.93 as a critical support area. A similar false bearish breakout also happened in late June and early July as price rebounded sharply after briefly breaking below the 4.93 support area.
Since the bullish rebound off the 4.93 support area on 18/09/18, the bullish sentiment seemed to have reappeared. The bulls succeeded in breaking price above the immediate downtrend line and 20, 60 and 200 day moving average convincingly on 28/09/18 signals further upside next. Price could be forming a triple bottom formation off the 4.93 support area.
Expect price to head higher next to test the 5.30 resistance area followed by 5.60.