Day trading performance
Aban off shore
Buying price 450
Exited at 518
Proft percent : 15 %
We bought Aban at 450as per the excella calls recommendation
Why we bought Aban?
Aban off shore lost almost 50 percent in last 6 months period. share price got a support at 400 and it has been trading in a range of 420-440 range for last few trading days. The price pattern made a short term resistance at 440. Then we can see last day it broke that resistance supported by the news.
On 29th December share soared over 13 percent intraday after Credit Analysis and Research (CARE) Ratings upgraded. The rating agency has revised credit rating of bank facilities of Aban Offshore by 3 notches to BB- from D. CARE notes that timely deployment of rigs going off the contract, optimum deployment of its fleet, changes in day rates, effective cash flow management notwithstanding improvement in liquidity position in the recent past would be key rating upgrade parameters. That was the news...Now lets see how we combined news and Technical analysis.
Last convincing break out was supported by huge volume. Share price was hammered down for many months. We were waiting for a bottom for this share.
How Volume played a big role in predicting the bottoming out
Aban off shores average daily trading volume for last 30 days was 1.16 million shares a day as it declined 50%, but during the last 5 trading days it has averaged over 1.23 million shares daily AND the price of the stock has appreciated during, it is likely that the stock has reached an inflection point and is finished going down significantly. Remember, fewer sellers exist at lower prices as most people were looking to "sell high." If only buyers remain, stock prices will rise. Check at the small spike on 17 december.. That was an indicator... Then share never went below 400.
Now lets see what happened on 29 th December
Share price spiked supported by the good news of Rate upgrading. Now we confirmed the bottoming out.. Next step is to check the break out ..
It happened on intial hours of trading last day ..we wanted the share price to cross 450 with a volume..that happened perfectly..in first 15 to 30 minutes average traded volume doubled than the last few days daily average..price sky rocketed..It was clear indication of Entry at 450-470 level.
Today we exited the share at 518.
Aban off shore
Buying price 450
Exited at 518
Proft percent : 15 %
We bought Aban at 450as per the excella calls recommendation
Why we bought Aban?
Aban off shore lost almost 50 percent in last 6 months period. share price got a support at 400 and it has been trading in a range of 420-440 range for last few trading days. The price pattern made a short term resistance at 440. Then we can see last day it broke that resistance supported by the news.
On 29th December share soared over 13 percent intraday after Credit Analysis and Research (CARE) Ratings upgraded. The rating agency has revised credit rating of bank facilities of Aban Offshore by 3 notches to BB- from D. CARE notes that timely deployment of rigs going off the contract, optimum deployment of its fleet, changes in day rates, effective cash flow management notwithstanding improvement in liquidity position in the recent past would be key rating upgrade parameters. That was the news...Now lets see how we combined news and Technical analysis.
Last convincing break out was supported by huge volume. Share price was hammered down for many months. We were waiting for a bottom for this share.
How Volume played a big role in predicting the bottoming out
Aban off shores average daily trading volume for last 30 days was 1.16 million shares a day as it declined 50%, but during the last 5 trading days it has averaged over 1.23 million shares daily AND the price of the stock has appreciated during, it is likely that the stock has reached an inflection point and is finished going down significantly. Remember, fewer sellers exist at lower prices as most people were looking to "sell high." If only buyers remain, stock prices will rise. Check at the small spike on 17 december.. That was an indicator... Then share never went below 400.
Now lets see what happened on 29 th December
Share price spiked supported by the good news of Rate upgrading. Now we confirmed the bottoming out.. Next step is to check the break out ..
It happened on intial hours of trading last day ..we wanted the share price to cross 450 with a volume..that happened perfectly..in first 15 to 30 minutes average traded volume doubled than the last few days daily average..price sky rocketed..It was clear indication of Entry at 450-470 level.
Today we exited the share at 518.
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