PCHEM already factored in the NEGATIVES? window dressingLooking at the chart for Petronas Chemicals Group Berhad, here's my analysis:
Current Price Action:
- Trading at RM5.08, down 8.04%
- Currently showing potential bottoming pattern
- Below all major moving averages (SMAs 10, 20, 50, 200)
Technical Analysis:
1. Moving Averages:
- SMA 10: 5.47
- SMA 20: 5.56
- SMA 50: 5.61
- SMA 200: 6.32
- All MAs in bearish alignment suggesting strong downtrend
2. Volume Analysis:
- Significant volume spike noted during recent selling climax
- Volume: 19.15M shares
- Recent buying interest emerging on volume
Key Events:
- September 2024: MYR1.426B (+174.76%)
- June 2024: MYR519M (-50.85%)
- Net income showing decline: MYR-657M (-5109.89%) in September
Price Structure:
- Long-term downtrend from RM6.60 levels
- Recent selling climax followed by accumulation
- Potential inverse head and shoulders pattern forming
Trading Considerations:
- Watch for break above RM5.40 for trend reversal
- Support building around RM4.80
- Risk management crucial given high volatility
- Need to see price back above moving averages for bullish confirmation
