Commercial Bank Plc - End of consolidation, heading upwards

Commercial Bank Plc is the largest private bank, and one of the 2 foreigners held counters, other being JKH. Also one of the largest market caps in the bourse. Therefore the strength or the weakness of it is important for the overall trend of the Market.

The Counter took a huge beating, whereby the price broke down from major support areas of 140 and 130 within the last 9 months. It fell to a bottom of 115.00. The recovery from there has taken it beyond 130.00 which was a support turned resistance point and moved upto the next major resistance point of 140.00, which was tested once so far. Since then the stock consolidated with a support at 134.50.

It is now trying to hammer past the 140.00 mark, if successful we can certainly see 146 to 150 in the short term. One of the strongest support lines is the 1000sma which is now at 134.20.

Seen Com Bank moving higher will help the ASI to extend its upward journey.