NCZ 0.00% $1.10 new century resources limited

Fundamentals, page-16

  1. 7,557 Posts.
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    The 30min chart going back to December contains some pretty good indicators that NCZ is due for a bounce. Whenever the RSI and MACD have been at these very low levels together, it's bottomed and preceded a move back to the 200EMA (or over it).

    It's hard to make out on this image but the MACD is about to put in a cross so IMO the bounce back to the 200EMA (~20c) should occur in the next day or so. If the move is made in conjunction with say FX moves or metals prices, it could run hot and push right through the 200EMA and up to 23-24c.

    If it pushes to 20, that's a 17% return on a 17c buy. If it really pushes through to 23c, that's a 35% return. Pretty good odds is you ask me so it makes for a good trade. The ST downside being 15.5c so the trade has a nice asymmetry (3c up : 1.5c down) and the probability is definitely higher on it turning up so I'll hold for the move.

    Best of luck SH.

    ncz bounce.png
 
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