Despite the STI’s 16.6% rally from 12 Feb 2016 through 21 Apr 2016 closing levels, Sapphire has been a laggard and registered a 13.3% drop. However, over the past two weeks, there seems to be a change in Sapphire’s price movement. Sapphire registered a 9.8% gain vis-à-vis a 6.5% drop in the STI, on the back of the strongest weekly volume (25 – 29 Apr 2016) for the past two months.
Based on Chart 1 below, Sapphire is on the verge of testing a region of strong resistance of around $0.275 – 0.280. 21D and 50D EMA have started to inch upwards and seem to be turning upwards. 100D EMA has stopped declining and turned flat. Volume has picked up for the week of 25 Apr. Although volume has declined for the week of 3 May – 5 May (partly due to one public holiday), it ...
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