GMA Holdings, Inc. / GMA Holdings, Inc - PDR

GMA7 is trending down. In fact, ever since its ex-cash dividend last April, the downtrend accelerated as seen through its sharper negative slope. Had it retained the same negative slope, GMA7 ought to have found support at 6. Instead, it broke below it and fell to as low as 5.6. I remember I bought GMAP and GMA7 last month around the 6 level. I told myself that a failure to hold above 6 would mean that GMA is headed to 5.3, which is its 61.8% retracement level. I also remember a lot of people being very bearish on GMA already and that made me very bullish (Haha! Contrarian play). I still got shaken out though because it fell below 6 but as we all know, it didn't go down as far as 5.3.

In effect, GMA7 formed a bear trap then made a strong rally to as high at 6.5 before resting once again. Today, we saw it come alive after its two week "vacation". Immediate resistance may be found at 6.7. The resistance of its downward channel suggests a major resistance at 7.

Although GMAP/GMA7 are trending up in the short-term, it is still too early to say that their recent bounce would already be the start of an uptrend. To confirm, GMA7 will first have to get past the 7 barrier to confirm the formation of a bullish higher low.

Note to Chambeng: I just used GMA7 because I realized their charts don't look that different after all. They have a slight difference in price fluctuations but generally, they still look the same and even have the same resistances.