IVL at monthly supportIVL at monthly support as we're heading towards the end of Q2. Last time IVL monthly close was in this zone was back in September 2020.
I do not expect sharp recovery in IVL share price or earnings, but the current price is a level that will offer poor risk/ reward for new shorts.
Shorts are offside!
On June6, programmatic trading accounted for 44% of IVLtrading value. The stock broke the previous support, made a 3-year low and closed down 5% for the day. No doubt that algo was the seller.
When shorts are offside, rebound could be sharp, but short-lived.
But I'm not going to buy right now in hope of a rebound. Rather, I will wait for vital signs before I start adding IVL to my portfolio, which could be:
- SET50 reversal weekly close
- consecutive days of foreign net buy
- IVL reversal weekly close
- Signs of daily close reversal (Doji with long lower shadow)
Speak of fundamentals, I believe we're past the cycle bottom. But only god knows how long the road to recovery will be. So buying is not for weak hands - you've been warned!
