MR Price (MRP) has declined more than 25% between April and June. After a selling climax and change of character the stock has been in redistribution. The point of control is at the supply line. After two upthrusts (UT) have occurred and effort (as indicated by the OBV) without response in the price there has been a significant signs of weakness (SOW). The change of character is seen in the increased volume on the decline and reduced volume on the pullback. After jumping the creek there is some consolidation at the support line. Once the markup begins in Phase E price could drop significantly.
Comment:
The pullback has been deeper than expected and has reached the top of the range. However, the most volume is still seen on the down bars and my expectation still remains for a markdown even as the market sentiment is positive.
