Another potential upmove? Frontken Corporation (0128.kl)

Feb 10, 2019

Stock code: 0128
Stock name: Frontken Corporation Bhd
Screener: 18LC for 7 Feb 2019 (tradevsa.com)
Observation date: 10 Feb 2019

Observation:
a) Price & Volume:
- Price: Mixed w/ wide spread on upbar.
- Volume: High vol on upbar.
b) Market Stage:
- Price may be in 2nd round of Accumulation (S1).
- This is after 27% markup from Support 1 within 2 weeks.
c) Trend Line:
- Price is currently moving within an Uptrend line with strong Sign of Strength (green arrow).
- It's trading range is between 79.5sen (old Resistance turn Support 2) to 89sen (new Resistance level).

Remarks:
There are 2 possibilities at this point of observation:
a) Price will do a pullback before moving up. To see this, it needs to break the Resistance level.
b) Price will move sideways (2nd round of S1) before continue its up move again.

Feb 12, 2019

Note

Observation date: 12 Feb 2019

Observation:
a) Price has break Resistance and closed today on an upbar with high vol.
b) Price may either continue its up move or retrace back to the old Resistance line.

Remarks:
- The next few bars will be crucial to determine price direction.
- We will do paper trading once we see an edge.

Feb 19, 2019

Note

Observation date: 19 Feb 2019

Observation:
a) Price has moved above the Resistance now turn Support 3.
b) We now see price is reaching the previous high @ 99.5sen which we shall now call Resistance 2.
c) In order to move up further, price would need to either:
- Break the Resistance 2 with high volume, OR
- Make a pullback before going for the kill (or break).

Remarks:
Based on the chart setup, we will be making partial entry based on my Trading Strategy below:

Trading Strategy:
- Capital: RM10k
- Entry Price: 95.5sen
- Stop-Loss: 92sen
- Share's buy: 3,100 (Based on RM3k).

We will continue observation and monitor on our trade.