Cosco Corp chart

After the announcement about the cancellation of a contract with a Norwegian company, Cosco Corp’s share price took a beating and triggered many analysts to downgrade the target price. Market opinion about the future of Cosco Corp was divided. The first half was fearful of more contract cancellations to come while the other half thought that this is a fantastic price to pick up the shares. The share price was supported at $2.81, the low achieved on 18^th Mar’08 and it managed a technical rebound. Looking at the Money Flow Index (MFI), it’s interesting to observe that we may be near the support of MFI and a rebound is beckoning. The first resistance will be the resistance zone from $3.18 to $3.34.

This article is written on 20^th April 2008.