After waking up from hibernation, VMC is trying to get up... starting to build up momentum and continue where it started (up to 5.50 pesos). Or is it???
Here is the 3 month chart of VMC. Notice how the current price action stays within the 38% fibonacci range? In my books, this is a good quality base building. BETTER THAN MIH's to be honest.
But what will be the story to propel this to newer highs? Does it even need a story? I am not a fundamentalist but when I tried to compute its fair value (with my very limited fundamental analysis skills) I was able to get 1.75 pesos... That is a 14% upside from the current price. If you don't believe me, let's just stick with the 3 month high at 1.65 pesos. That is still a 9% gain!
Just be vigilant.
To save you from unnecessary stress, make sure you buy at SUPPORT because 1.54 appears to be a MAJOR RESISTANCE!
Disclaimer: I am not selling to you this stock.
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