Porta Communications 10p does appear to be on the cards.

PTCM Porta Communication PLC Technical Analysis 290115

 

What is evident on the daily chart of Porta Communications Plc (LSE:PTCM) is the way that the shares have been in a 6p to 16p sweep for most of the past couple of years. The issue for the start of 2015 though, is that a year on from topping out through 16p at the start of 2014, we are attempting to ascertain how much of a base has been made, and how robust it may be.

The good news is that the aftermath of the October/November double bottom towards 6.5p appears to be relatively solid in the sense that we are seeing new support for the shares come in at or just below the 8p level. All of this positive consolidation is occurring within a rising trend channel which has been in place since the beginning of October.

The suggestion now is that with the 50 day moving average at 8.31p rising quite sharply, an intermediate rebound towards what was the old August support area at 10p does appear to be on the cards. This idea is also backed by the way that 10p is the current trading area of the 200 day moving average. That said, cautious traders would probably wish to wait on at least a weekly close back above the 200 day line before assuming that a fully fledged Bull run is in play at Porta Communications.

Click to view all articles for the EPIC:
Or click to view the full company profile:
    Facebook
    Twitter
    LinkedIn
    DirectorsTalk

    More articles like this