Technical analysis of Plask shares in August 1402 / Plaskokar was on the edge of the razor

According to Tejarat News, Plascocar can be traded on the second market of the stock exchange under the symbol “Plask”. Plasak, with a market value of 816 billion, is in the rubber and plastic industry.

The analysis of the Plask trading board shows that the price behavior of this share takes place with a short pause in the direction of suspicious legal movements of the share. Therefore, whenever the rights start to make heavy purchases, shortly after the floor swings made in its chart, the stock has given good returns to the shareholders. Therefore, in order to recognize the validity of the upward wave, it is very important to examine the legal behavior of the share.

Technical analysis of Plask shares

On the monthly timeframe, the Plasque stock price chart allows a long-term bullish channel to be drawn. Accurate and numerous hits to the ceiling, floor and middle of the channel show that the price has well priced the frequency of this channel.

“Plask” symbol was not excluded from the upward trend of the stock market that started last fall. After two years and 6 months of erosive decline, this process finally managed to raise Plask’s share price slightly above the historic high in August 2019.

Penetration of the price to levels higher than the previous ceiling paints the prospect of higher targets for this stock. In this case, the pessimistic scenario also states that since the price has failed to cross this level, the view of the side trend is strengthened in this chart.

The Andrews Modify-Schiff fork diagram gives good information on the likely price path. After hitting the middle line, the price has started to fall. Next to this Andrews fork, there is an important trend line that is obtained from the connection of two uptrend swings of the market.

Now, considering that the price is on this trend line and has penetrated below it in the course of trading in recent days, if it returns to the top, it has a chance to rise above the previous ceiling. But if the price stabilizes below the drawn trend line, it is not far off to expect the lower parallel target of the fork as the target of the current downtrend.

Technical analysis of rubber and plastic index

The upward trend of the stock market started in November last year. The symbols of the rubber and plastic industry were not excluded from this trend. The upward trend continued until the middle of May and included two smaller corrective trends. However, in the technical analysis of the index chart of this industry, the size of the downward wave before the start of the downward trend is used. The reason for this is the similarity of the size of the chart correction from mid-May until now to the size of the last downward wave before the beginning of the upward trend.

By drawing a Pullback Fork, you can guess potential reversal points. Drawing a parallel sliding near the midline of the pullback fork introduces an important retracement level to the technicalist.

Therefore, two scenarios can be expected according to what is specified in the chart image. The bullish scenario, which is more likely to happen, is the collision of the rubber and plastic industry indicator with the drawn parallel sliding and then breaking the red downward trend line. In this scenario, the index target is the upper parallel touch of the midline.

The bearish scenario will occur if the index loses its sliding. In this case, the shareholders of this industry should wait for the end of the correction in the range of 343 to 351 thousand units. This range has been an important ceiling in the downtrend in the past. Moreover, the previous upward trend has formed a trading node exactly in this range.

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