Above is the daily chart of Coslight Technology International Group Ltd. (1043.HK).
The principal activities of the Company and its subsidiaries are research and development, manufacture and sales of rechargeable batteries and battery related accessories. (source: http://www.aastocks.com)
On the chart, we can see that the stock was moving within 4.24 and 4.80 for a few months before plunging hardly to below 3. The range is definitely a resistance zone.
However, according to my observation, it seems like the price would be lifted again by corporate investors. Large drops from March to May gave us hints that corporate investors might want to frighten the retail shareholders off so they can hold more shares and it would be easier for them to push the price upwards.
The red line is a long-term down-trend line which acts as resistant now. If the price could break out, together with my expectation on breaking out of 4.24 as well, the stock price would reach 4.80. This level is a strong resistance due to the fact that many retail investors might have bought within the range in last Oct to Feb this year.
So this stock is probably worth putting under watch-list, breaking out means a good buy signal.
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