Our website is made possible by displaying non-intrusive online advertisements to our visitors.
Please consider supporting us by disabling or pausing your ad blocker.
After the frenzy limit-up yesterday, traders took profit today which brought the share price down to as low as RM1.70.
Vivocom’s shares tested intraday low 2 times, before rebounding convincingly to RM1.81 from 9:40AM.
As I have repeatedly stressed, a company’s share price is a function of the underlying demand versus the available supply of its shares actively traded in the open market.
A reliable indicator to gauge the demand vs. supply of the company is the buy and sell rate.
Despite overall buy rate at 48.7% during the morning session, the sentiment for Vivocom’s shares actually turned positive from 9:40.
Of the 59.66M shares traded, 33.61M shares were traded before 9:40AM with buy rate at 42.1%
On the other hand, 26.05M shares were traded after 9:40AM with buy rate at 58.1%
This is a good sign as it indicates that the selling pressure from the morning had stabilised to a trickle after 9.40AM, which tells me loud and clear that traders do not think RM1.70 is the fair price for this company, hence, traders started to aggressively buy any shares available in sight at RM1.70/RM1.74 levels to ram the price back up to RM1.80 and beyond.
I expect such positive & bullish sentiments to continue in the afternoon session.
I foresee Vivocom’s share price closing at RM1.85 or higher today.
The rally which started 14 days ago, wow is it already longer than two weeks, has indeed demonstrated solidity and stability rarely seen in an ACE stock in KLSE.
In short, expect Vivocom’s uptrend to continue to soar to RM3.00 soon.
