Current Price = 0.13
Target = 0.145
Support = 0.13
From chart:
- RSI is remain neutral at 50%.
- MFI is below 50%. Must go higher if want to fly.
- Stoch & Wm%R reached at oversold area.
- Volume is very weak. very small.
Buyer is queuing and waiting at lower price and obviously, the resistance at 0.145.
In the morning, buyer bought the share on thought of AGM, but after announcement of the outcome, only sell trades was recorded. But its not representing anything as its only small volume.
News of AGM today to me not so interesting. There are 3 resolution which is 2 ordinary and 1 special.
Ordinary Resolution 1 - Proposed renounceable rights issue of up to 210,000,000 new ordinary shares of RM0.10 each in Flonic ("Rights Shares") on the basis of 3 Rights Shares for every 2 existing ordinary shares of RM0.10 each held in Flonic ("Flonic Shares") together with up to 140,000,000 free detachable warrants ("Warrants") on the basis of 2 Warrants for every 3 Rights Shares subscribed on an entitlement date to be determined later, at an issue price of RM0.10 per Rights Share and at an exercise price of RM0.10 per Warrant ("Proposed Rights Issue with Warrants").
Ordinary Resolution 2 - Proposed increase in the authorised share capital of Flonic from RM25,000,000 comprising 250,000,000 Flonic Shares to RM100,000,000 comprising 1,000,000,000 Flonic Shares ("Proposed Increase in Authorised Share Capital").
Special Resolution - Proposed amendment to the Memorandum of Association of Flonic ("Proposed Amendment").
As any other penny stock, right share probably going to happen. To me right share always give bad outcome, especially on penny stock. Example, RA. But over time, still can make profit, as what happen to INGENS, and FOCUS. The question is how long you are willing to wait?
Having increment on share capital also, not going to be good to me.
In the end, its the way of company to raise money.
I might be wrong on this, so please correct me.
cheers.
Still, target is 0.145.
