Most uptrends are preempted from a breakout from a base that serves as ones launching pad. In the case of Trans-Asia Petroleum Corporation or TAPET, this base was in the form of an inverted head and shoulders (inverse kilroy in other books). Back in April 2015, the said inverted head and shoulders was not actually recognizable yet but at that time we inferred that it was already in the process of building one due to the higher low base that it had worked on. By the way, a higher low base formed against a general downtrend indicate ‘smart’ money are starting to go in at relatively higher prices. In any case, the stock started to surge higher and never looked back following its move past its resistance of Php4.50. Its rise then continued to extend following its break above its former all-time high at Php9.00. Moving forward, its new move past its interim resistance at Php11.00 may continue to carry it forward towards Php12.40.
*Consensus target price or average target price given by the major foreign and local brokers of various stocks on top of index names are available in our Equity Advisor!
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