The imperfect downsloping channel seen in SM Prime Holdings (stock symbol: SMPH) in early January was recently replaced by a less steeper one and is now looking to make a more considerable bounce through the 15.00 psychological level.
Buyers are not yet out of harm’s way: they must keep buying and provide support near Tuesday’s 14.10 low, while simultaneously aiming for a break of 16.00 soon.
The MACD-O gave a useful hint in our previous article. On the chart below, the Relative Strength Index (RSI) has shown a bullish divergence which supports at least a short-term advance. The big question, right now, is whether this stock can reach and take out the 20.00 psychological level in the next few weeks.