Tuesday, December 6, 2016

Mermaid Maritime - A Tough Up Wave

The share price of Mermaid had been climbing since the morning. However by studying the minute chart, the signs for entry were so vague that I can't force myself to click the buy button. The minute chart was also beautiful setup with 3 horizontal lines drew which act as the supply zone. However, even so, the buyers were still supporting and buying on the up wave but I would stay out of this counter temporarily for now as there are better choices like Sembcorp and Keppel corp. When trading, select something that is easily readable which makes it lesser prone to error.

Update 6/12/2016, 5:09pm

In the end, Mermaid encountered sellers and started to sell down towards closing. The supply zone drawn was correct as now the late buyers who buys on breakout are mostly panic.

Ronald K - Market Psychologist - A Stock Market Opportunist