Technical analysis of Shalaab stock in October 1402 / The fate of Shalaab depends on the transactions of the third week of October

According to Tejarat News, Laabiran company can be traded with the symbol “Shalaab” in the second market (main board) of the stock exchange. Shalab shares with a market value of 1,171 billion tomans are in the chemical products group.

The analysis of the trading board of “Shalaab” shows that the price behavior of this share takes place with a short break in the direction of suspicious legal movements of the share. Therefore, whenever the right has started to buy heavily, a little later, the share of floor swings made in its chart 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 chemical index

In the weekly dimensions, identifying the major structure in the chemical group index chart helps a lot to identify the trend. After the deep reform of this industry, which occurred at the same time as the market collapse in 1999, a new trend started in the chemical group in the middle of March of the same year. The structures specified in the index chart of this industry indicate that the index of this group is bullish.

Also, the emerging structures show that the corrective waves of the mentioned trend are very similar to each other. So that this index ended during the recent correction of the market from the middle of May of this year as soon as it reached the size of the previous correction, and the index of the chemical group started building higher ceilings and floors.

The drawing of the Andrews fork tool in the pullback style shows that this indicator measured the level of support of the buyers by testing and then re-testing the middle line, and after that it was thrown upwards. If the last floor is maintained in the range of 152 thousand units, the indicator of the group of chemical symbols has the target of reaching the ceiling of the Andrews fork.

Therefore, it can be claimed that the three previous reform waves are from the same family. On the other hand, the slope of the first wave of this upward trend is very similar to the last upward wave of the market that started in November 1401. Therefore, this point can be used to draw the Andrews fork.

Based on this drawing, if the weekly candle of this indicator closes above the middle line, it has a great chance for the index to grow to a high parallel. This means that the index has crossed its previous ceiling.

Technical analysis of Shalab shares

In reviewing the Shalaab stock price chart, in the monthly time frame, the historical price data indicate the upward trend of this stock in the long-term review period. By drawing an Andrews fork in PBML style or Pullback-Midline, a road map is obtained for guessing possible price paths.

On the other hand, drawing sliding parallels and examining the behavior of the price in the face of them, indicates that the frequency has shifted slightly downwards while maintaining the slope in the drawn fork. In general, accurate price encounters with the fork lines indicate that the fork frequency is accepted by the price.

The important range of 1,970 to 2,124 tomans in the Shalaab price chart is currently the main resistance for Shalaab. The analysis of the Shalab stock price chart shows that the price passing through this range paves the way for the price to rise to the historical high of the share at the level of two thousand and 896 tomans.

The continuation of the validity of this scenario depends on maintaining the upward rhythm of the price of Shalab, which is measured by the green trend line. The failure of this line and its stabilization below the upward trend line will not be positive news for Shalaab shareholders, and the possibility of “Shalaab” moving towards building a third wave of a larger downward trend will increase.

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