Cosco 010808

After breaking the 3.08 suppport (red ...) on 29 jul, Cosco continues to trade within the long term downtrend channel (pink). Cosco also broke the uptrend support (low blue) and tested the downtrend support (low red) and 3.03 support (pink --).

The last time Cosco tested the 3.03 support was on 18 jul, and it staged a mini recovery after that. Would it be the same this time?

We could see some action for Cosco next week as the long term downtrend resistance (upp pink) meets the uptrend support (low blue) at the 3.06 level.

If Cosco doesn't break the long term downtrend resistance (upp pink) by next week, I believe the 3.03 support could even be broken. And if that happens, we could see Cosco testing the long term downtrend support (low pink).

If the 3.03 support holds, we could see Cosco trading sideways between the 3.03 support and 3.08 resistance. And if Cosco breaks the 3.08 resistance convincingly, we could see it testing the 3.15 resistance (blue --).



For monday :

Support @ 3.03 (pink --), 3.02 (low red), 2.98 (red --), 2.96 (low pink), 2.85 (green --)
Resistance @ 3.06 (low blue), 3.08 (red ...), 3.09 (upp pink), 3.15 (blue --)