Sarawak Consolidated Industries Berhad. Technically, 'History will repeat itself '
Technically, there's an evidence that the price of SCIB could potentially climb higher as the last price action could be a potential price breakout. it's clearly that price have been traded in sideways manners since June, and this new current high price with a sudden increase in volume could potentially signalling that there's an increase in interest in SCIB. The breakout in SCIB Yesterday seems mirroring what had happened in June, when SCIB price make a breakout and rockecting up from 20 sen to 50 sen within a month period, (more than double, in a month !)
Looking at Fibonacci Retracement, there is a possibility that after hitting high at 50 sen, price retrace and remain strongly supported at 0.786 Fibonacci Retracement level and traded in between the channel. And, what happened yesterday could potentially be a breakout, if it is true a breakout, it will be confirmed when price remain above 50 sen and higher, what could possibly happen after that is, price will continue it upward movement and test the next Fibonacci Retracement level, which is at 60.5 sen, 0.66 sen and it final target resistance level will be at 74 sen, which is the 1.618 Fibonacci Retracement level (golden ratio).
In conclusion, it will be a buy call if price breakout and remain above 50sen, it would be a hold if price fall below 50 sen, as long it remain supported above the cloud and above the 20 day simple moving average line. The cut loss should be taken if price fall below the 20 day simple moving average line. Target for SCIB price is at 60.5 sen, 66 sen and final target is at 74 sen.
technical analysis is only a study of probability on past price action to forecast the potential price target.
Stock: [SCIB]: SARAWAK CONSOLIDATED IND BHD
2023-10-12 08:21 | Report Abuse
Sarawak Consolidated Industries Berhad.
Technically, 'History will repeat itself '
Technically, there's an evidence that the price of SCIB could potentially climb higher as the last price action could be a potential price breakout. it's clearly that price have been traded in sideways manners since June, and this new current high price with a sudden increase in volume could potentially signalling that there's an increase in interest in SCIB. The breakout in SCIB Yesterday seems mirroring what had happened in June, when SCIB price make a breakout and rockecting up from 20 sen to 50 sen within a month period, (more than double, in a month !)
Looking at Fibonacci Retracement, there is a possibility that after hitting high at 50 sen, price retrace and remain strongly supported at 0.786 Fibonacci Retracement level and traded in between the channel. And, what happened yesterday could potentially be a breakout, if it is true a breakout, it will be confirmed when price remain above 50 sen and higher, what could possibly happen after that is, price will continue it upward movement and test the next Fibonacci Retracement level, which is at 60.5 sen, 0.66 sen and it final target resistance level will be at 74 sen, which is the 1.618 Fibonacci Retracement level (golden ratio).
In conclusion, it will be a buy call if price breakout and remain above 50sen, it would be a hold if price fall below 50 sen, as long it remain supported above the cloud and above the 20 day simple moving average line. The cut loss should be taken if price fall below the 20 day simple moving average line. Target for SCIB price is at 60.5 sen, 66 sen and final target is at 74 sen.
technical analysis is only a study of probability on past price action to forecast the potential price target.