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Technical Analysis on These Four ASX-Listed Stocks- PSC, VEE, MM8, CT1

Jul 21, 2022 | Team Kalkine
Technical Analysis on These Four ASX-Listed Stocks- PSC, VEE, MM8, CT1

Prospect Resources Limited (ASX: PSC)

Prospect Resources Limited is involved in exploration and evaluation of battery minerals, in Australia and Zimbabwe. Its projects include Arcadia Lithium Project and Penhalonga Gold Project.

Technical Analysis: On the weekly chart, PSC stock prices are trading below the upward sloping trendline resistance zone and facing the resistance of the trendline. Moreover, the momentum oscillator RSI (14-period) is showing a reading of ~69.653 level and formed the negative divergence which might indicate the possibility of correction in the stock . However, the prices are trading above the trend-following indicator 21-period SMA, which may act as crucial support level. An important support level for the stock, is placed at AUD 0.820 while the key resistance level is placed at AUD 1.150.

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario.

Considering the stock’s current price levels placed at uncertainty, investing in this stock at the moment should be taken with a calculated approach; hence a ‘Watch’ stance is suggested. The stock was analysed as per the closing price of AUD 0.990 per share as on 20th July 2022, up by ~1.020%.

Weekly Technical Chart – PSC

VEEM Ltd (ASX: VEE)

VEEM Ltd is involved in the manufacturing of products and services for marine, defence, and mining industries. The company has successfully constructed the world’s largest and most powerful known gyrostabilizer for delivery to Damen Shipyards.

Technical Analysis: On a Weekly chart, VEE stock prices are trading below the falling trendline resistance level and facing the resistance of the same. Moreover, the momentum oscillator RSI (14-period) is showing a reading of ~41.583 level, indicating negative momentum. Further, the prices are trading below the trend-following indicator 50-period SMA, which may act as crucial resistance level. An important support level for the stock, is placed at AUD 0.430 while the key resistance level is placed at AUD 0.610.

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario.

Considering the company’s current price levels trading with lower lows and lower highs formation, and momentum indicator analysis, it is prudent to suggest a ‘Watch’ stance on this stock. The stock was analysed as per the closing price of AUD 0.520 per share on 20th July 2022, down by 6.306%.

Weekly Technical Chart – VEE

Medallion Metals Limited (ASX: MM8)

Medallion Metals Limited is an Australia-based resource exploration and development company. The company focuses on the exploration of Gold, Silver, Copper, and others.

Technical Analysis: On a Weekly chart, MM8 prices are falling from the recent highs and settled around the lower support zone. The momentum oscillator RSI (14-period) is moving around the oversold zone and showing a reading of ~36.058. An important support level for the stock is placed at AUD 0.160 while the key resistance level is placed at AUD 0.200.

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario.

Considering the company’s current price levels falling from the recent highs, and momentum indicator analysis, it is prudent for the individuals to ‘Watch’ this stock. The stock was analysed as per the closing price of AUD 0.180 per share as on 20th July 2022.

Weekly Technical Chart – MM8

Constellation Technologies Limited (ASX: CT1)

Constellation Technologies Limited is an Australia-based company specializing in product development for the Internet of Things (IoT) and product management for industry and government applications.

Technical Analysis: On a weekly chart, CT1’s prices are moving in a downward trend with lower highs and lower lows formation. The momentum oscillator RSI (14-period) is moving below the midpoint and trading at ~45.796. An important support level for the stock is placed at AUD 0.005 while the key resistance level is placed at AUD 0.007.

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario.

Considering the company’s current price levels moving with lower lows and lower highs formation, and momentum indicator analysis, it is prudent for the individuals to ‘Watch’ this stock. The stock was analysed as per the closing price of AUD 0.006 per share as on 19th July 2022 (CT1 was not traded on 20th July 2022).

Weekly Technical Chart – CT1



Note 1:
 Investment decision should be made depending on an individual’s appetite for upside potential, risks, and any previous holdings. This recommendation is purely based on technical analysis, and fundamental analysis has not been considered in this report.

Note 2: Related Risks: This report may be looked at from high-risk perspective. Recommendations provided in this report are solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.

Technical Indicators Defined: -

Support: A level at which the stock prices tend to find support if they are falling, and downtrend may take a pause backed by demand or buying interest.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and uptrend may take a pause due to profit booking or selling interest.

Stop-loss: In general, it is a level to protect further losses in case of unfavourable movement in the stock prices.

The Green colour line reflects the 21-period moving average. SMA helps to identify existing price trends. If the prices are trading above the 21-period, prices are currently in a bullish trend (Vice – Versa).

The Blue colour line reflects the 50-period moving average. SMA helps to identify existing price trends. If the prices are trading above the 50-period, prices are currently in a bullish trend (Vice – Versa).

The Yellow colour line represents the Trendline.

The Purple colour line in the chart’s lower segment reflects the Relative Strength Index (14-Period), which indicates price momentum and signals momentum in trend. A reading of 70 or above suggests overbought status, while a reading of 30 or below suggests an oversold status.


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