URC price action analysis
Universal Robina Corporation
URC's recent sell-off started right after it failed to break the 8-month downtrend line with a toppish price action given by a bearish candlestick pattern (Hanging Man). The confirmation of that bearish candle given the fact that it failed to break a major trend line was a potential hint to take some profit or fold an existing position.
Last Friday, URC's price action kissed the 4-month uptrend line support on huge volume after a 5th day free fall. This extra ordinary volume after a few days of sharp sell-off is a potential sign of panic selling or puking effect which could trigger exhaustion.
*Immediate support area base on price congestion is around 160.
*There are two GAPS to be potentially filled in the future (see chart below).
Trading Plan
- Monitor for possible technical rebound.
- If already in a trading position for this potential exhaustion signal, set appropriate stop-loss.
URC's recent sell-off started right after it failed to break the 8-month downtrend line with a toppish price action given by a bearish candlestick pattern (Hanging Man). The confirmation of that bearish candle given the fact that it failed to break a major trend line was a potential hint to take some profit or fold an existing position.
Last Friday, URC's price action kissed the 4-month uptrend line support on huge volume after a 5th day free fall. This extra ordinary volume after a few days of sharp sell-off is a potential sign of panic selling or puking effect which could trigger exhaustion.
*Immediate support area base on price congestion is around 160.
*There are two GAPS to be potentially filled in the future (see chart below).
Trading Plan
- Monitor for possible technical rebound.
- If already in a trading position for this potential exhaustion signal, set appropriate stop-loss.
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