Sheng Siong (OV8): BREAKOUT
The stock broke out this morning from its Accumulation zone which lasted 4 months since Dec 16. Selling Climax was seen in late 2016 with higher than normal volume. Also, Momentum (MACD) forming a bullish “Head and Shoulders” reversal Pattern, These observations provides adequate indications that the downtrend has likely to bottomed, coupled with the 4 months accumulation and breakout, we are likely to see the stock mark from current trading range.
Probable Trade Plan as follows.Target Price : S$1.10
Current Price : S$0.985
Stop Price : S$0.945
R/R Ratio : 2.88x