Positive Divergence in Lumbini Bank Ltd.

Candlesticks

A white body occurred  on 20th june because prices closed higher by Rs.5 than they opened.

During the past 10 bars, there have been 4 white candles and 5 black candles for a net of 1 black candles.  During the past 50 bars, there have been 16 white candles and 26 black candles for a net of 10 black candles.

Bollinger Bands

On 6/20/2013, lumbini  Bank Ltd. closed above the lower band by 21.1%.  

Bollinger Bands are 39.51% wider than normal.  The current width of the bands (alone) does not suggest anything conclusive about the future volatility or movement of prices.   



Relative Strength Index

The current value for the 14 period RSI is 35.1769.


Support:  Rs.184, Rs.180, Rs.172, Rs.164
Resistance:  Rs.192, Rs.196, Rs.204, Rs.212

Recommendation
Based on the chart and Indicators  above, Lumbini Bank Ltd  share price is making lower low but Relative Strength Index is not making its low. There is a divergence in price and RSI. RSI is also in  oversold  zone, 35.17 indicates a near term  bullish trend in this stock.

This commentary is not a recommendation to buy or sell, but rather a guideline to interpreting the specified indicators.  This information should only be used by investors who are aware of the risk inherent in securities trading.  IMS Investment Management Services Pvt. Ltd accepts no liability whatsoever for any loss arising from any use of this contents.