StockWatch (Nov 08-12, 2010): PSEi, LCB

PSEi (Chart: Daily Resistance: 4413 Support: 4347/4273)

The index amazingly had another short bullish run, something which I did not expect at all to occur. The first trading day was good as we saw a white candle with value turnover that is relatively larger than the other white candles. However, the last trading day I believe is a bad sign, as an engulfing pattern was created. The black candle formed is longer than the previous candle and it just wiped out gains from the previous trading days. Not only that, large value turnover is also evident on the last trading day. For next week, expect the index to move downwards.


LCB (Chart: Daily Resistance: 0.50 Support: 0.36)

Support at 0.36 for LCB did hold last week, with the stock bouncing from the lows. There is probably a renewed interest for this stock as the last trading day had a relatively large volume compared to the past 2 weeks. Observe if by Monday, the volume still increases, if it does, then we probably have a breakout of a downward channel with a target price of 0.5.