VALE5: A last breath before a price correction
Updated
Since 06/01/2016 VALE5 has enraged in a rally that built up more than 20% of the stock price, alligned with the results of IBOV (> +16%). This excelent result was made by a huge entrance of foreign capital in the Brazilian market, propiciated by the maintenance of low interest rates worldwide.
What we see in the graphs of VALE5 are signs of accendent confidence in the market, with four consecutive Botton-Top moviments, all of wich with price grow and tryng the mark near $13.60. This mark was finally beat up in 07/12/2016, and tried again in 07/20/2016.
My bet is that in the next few days we'll see the market trying the price of $14.35, before a price correction that will move the prices near the mark of $13.60 again.
What we see in the graphs of VALE5 are signs of accendent confidence in the market, with four consecutive Botton-Top moviments, all of wich with price grow and tryng the mark near $13.60. This mark was finally beat up in 07/12/2016, and tried again in 07/20/2016.
My bet is that in the next few days we'll see the market trying the price of $14.35, before a price correction that will move the prices near the mark of $13.60 again.
Note
Position closed now: $14.02 -> $14.33 (+2,21%)
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