Recall that we have issued a ‘Trading Buy’ call on AIRASIA on 2 Dec 2014 with TP of RM3.21. Its share price has gained 5.3% since then before the uptrend disrupted by a gap down on spike in trading volume in share price yesterday on the back of negative sentiment of the news of its lost aircraft (QZ8501) in Indonesia. Trend turned negative with its MACD turning down while buying momentum seemed to have lost steam with both its RSI and Stochastic indicators trending downwards. With that, we have decided to close our position on this stock before 2014 year end with a ‘Take Profit’ call on the stock.

 

 

Source: Kenanga