Yangzijiang Shipbuilding (BS6 / Daily Chart)
*This idea is to trade on the higher possibility of advancing share price. I highly recommend clients to have stop loss when doing trading.*
Cup and Handle formation spotted. It is a bullish continuation pattern.
Comments: Stock seems to trade with support of 14 days Moving Average (Indicated by Thin Red Line). If the 14 day Moving Average crosses the 200 days Moving Average (Long Term, Thin Green Line), it will have high chance of trading at a even higher price. This is even better if coupled with higher trading volume.
Short Term Price Support: $0.86
Next Price Support $0.83
Resistance Price: About $0.93
Suggested Entry: $0.83 – $0.86
Target Profit Taking Price: $0.93 & Higher (6.70% Profit, with entry at $0.86)
Time Frame: 2 weeks – 1 month
Suggested Minimum Trade Size: 5000 shares (About $4.3K)
Risk Level: Mid
Stop Loss: Once the share price breaks below $0.83 (5.36% Loss, with exit at $0.825)
*Chart at 12pm*