Petra Energy likely to re-test downside support

THE FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) staged a follow-through technical pullback, in tandem with mixed performances on regional stock markets yesterday. Declining counters outpaced advancing counters by 646 to 159.

The FBM KLCI fell from its day high of 1,576.23 to its day low of 1,561.97 yesterday. It closed at 1,562.58, giving a day-on-day loss of 14.67 points or 0.93 per cent.

Petra Energy Bhd price trend moved higher to close at RM1.56, giving a day-on-day gain of 6 sen or 4.00 per cent.

Chartwise, Petra Energy's daily price trend fell from its recent high of RM1.64 on May 14 2011 to its day low of RM1.44 on June 16 2011, recording a total loss of 20 sen or 12.20 per cent.

Its 60-minute price fell below the support of its immediate downside support (B1:B2) yesterday and continued to stay below it.

Its 60-minute fast MACD (moving average convergence divergence) stayed above its daily slow MACD yesterday. Both its daily fast and slow MACDs continued to stay above their respective neutral reference lines.

Petra Energy's 60-minute price trend is likely to pause for a short and brief consolidation, likely to re-test its immediate downside support (RM1.44 to RM1.54 levels).