Username
Password
Forget Password?
  1. Indices
  2. Commodities
  3. Currencies
Straits Times 3,126.14 -8.57 -0.27%
Hang Seng 26,848.49 +184.21 +0.69%
Dow Jones 27,047.12 +45.14 +0.17%
Shanghai Composite 2,977.33 -1.38 -0.05%
ThaiBev, Will It Break Out Again?
Trend Spotting | 30 September 2013
Related stocks:
Y92
By: Robin Han
Articles (102) Profile

Thai Beverage Public Company’s stock performance (ThaiBev) has been very strong in the month of September. Its price went up and broke above the downward trendline, which also acted as a resistance, when the Straits Times Index (STI) was going up. Currently, the moving averages (MAs) are heading North already.

If it is a false breakout, the stock should be subjected to a severe pull back after the rally. However, that did not happen. It is a sign of strength, particularly when STI had a pull back during the past few days. It indicates that the sellers are weak and the stock is likely to remain in its uptrend momentum. After the small range consolidation for the past six to seven trading days, if it breaks above the recent high, the uptrend is likely to resume and have more upside potential. Fundamentally, the recent half year report on 14 August showed that ThaiBev’s revenue and income dropped slightly.

Chart On Thai Beverage Public Company

Nonetheless, the stock does not carry a high risk in terms of fundamental perspective. One may consider buying on breakout from the recent high and set the stop loss right below the recent low. The risk reward ratio makes it a good setup to consider.

Robin Han is a Ph.D in Department of Chemical and Biomolecular Engineering and has got a solid foundation in the financial markets.

Please click here for more information about this author.

Thai Beverage Public Co  0.875 -- --   
Business: [FY18 Turnover] Spirits (46.1%), beer (41.1%), non-alcoholic beverages (7%), food (5.8%).

Insight: May-19, 1H19 revenue rose 26.1% to THB142.6b mainl... Read More


Join The Conversation
The Shares Investment editorial team welcomes constructive feedback on our coverage and content. We would also be delighted to answer any questions on the above article. Leave us a comment below, and we'll get back to you shortly!

All Rights Reserved. Pioneers & Leaders (Publishers) Pte Ltd. Best viewed with Mozilla Firefox 3.5 and above.