SMPH following a downward channel?

After the weak bullish Kijun Sen on SMPH last Wednesday, it was the bears turn on Friday to respond with a strong bearish signal via the Kijun Sen as price went down by 1.65% to close at 14.74 per share which is lower than the Kijun Sen line at 14.87 which was our immediate support that day. Looking at the daily chart, it seems that SMPH is following a downward channel. If price is to continue moving inside this channel then it is heading for the support slope which could be at 14.10 per share.

Weekly chart is still showing the Kijun Sen line at 16.86 but at any time if price will go below 14.10 then this line will bend downwards making its magnetic property not effective. Still our resistance is at 15.84

Caveat!

Leave a Reply