Palm Hills DevelopmentsStock Call | Technical Analysis

Real Estate | Egypt

Monday, 25 May 2015

Be the first with the new trend

Palm Hills Developments (PHDC.EGX) has been moving in a medium-term downtrend, reaching i ts lowestlevel a t 2.41 las t Apri l . It has ri s en s ince then, reaching 2.96 before recording another low at the samelevel 2.41 mid-May to form a "double-bo om" (a W shape) which i s a reversa l pa ern. Yes terday, the s tockpenetrated the neckl ine at 2.96 decis ively wi th a good volume, ful fi l l ing the formation of the pattern.

Now, we bel ieve the trend i s reversed, and the minimum objec ve for this reversa l pa ern i s 3.50(incidenta l ly our fi rs t res i s tance target); the next i s 3.85.

Disclosure Appendix

Importa nt Disclosures Methodolog y The consensus ra ng s a nd ta rg et prices a re ba sed on the la s t three months . Ana lys tra ng s s ta s cs cha rt is ba s ed on recommenda ons ma de by third-pa rty a na lys ts during the la s t 12 months . We do nota a ch a consensus ra ng ( i.e . "na " or "not a pplica ble/a va ila ble" if 1) a consensus ta rg et price ha s not been upda ted overthe la s t three months or 2) the compa ny is not ra ted or covered by a ny third-pa rty a na lys t. O ther Disclos ures MFS does notha ve a ny proprieta ry holding in a ny securi es . O nly a s a nominee, MFS holds sha res on beha lf of its clients throug hO mnibus a ccounts . MFS is not currently a ma rket ma ker for a ny lis ted securities .

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