Temporary Correction Seen In Megawide Construction Corp.


megawide construction corporation, MWIDE philippine stocks, cup and handle continuation, daily stock picks, stock market trading, ron acobaNewly minted- Megawide Construction Corporation or MWIDE in the Philippine Stock Exchange has gained some pretty good gains since its listing last February 18, 2011.

From an opening of PHP 7.86 during its first day of trading, MWIDE has reached a high of PHP 9.80 today (June 29, 2011), gaining as much as 24.68% in a little over 4 months. A breakout from a continuation cup and handle pattern was actually the one that propelled it to the mentioned high. However, it appears that MWIDE could be bound for a correction soon or at least a consolidation.

As you can see from its daily chart above, a bearish shooting star pattern has formed in today's trading. This candlestick pattern exhibits that investors could soon take their profits since there weren't enough demand today to have MWIDE close somewhere near its daily high. So if I have a long position on MWIDE, I would take my profits as soon as I can and just re-enter once the stock has corrected back to say PHP 9.16, where the neckline of the cup and handle lies, or at PHP 9.00.

Related posts:

  1. Metro Pacific Investments Corp. (MPI) Inching Higher Manny Pangilinan's Metro Pacific Investments Corporation or MPI in the...
  2. Bullish Reversal On SM Development Corporation (SMDC)? The property sector appears to be taking the spotlight from...
  3. Buying Opportunity On Ayala Land, Inc. (ALI) “Float like a butterfly, sting like a bee.” Just Like...

Related posts brought to you by Yet Another Related Posts Plugin.

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: IndustrialsMarine Ports & Services
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!