Another John Gokongwei – led company, namely Universal Robina Corporation or URC in the Philippine Stock Exchange has been making some headway these past couple of days. Now, will it be able to regain its form and regain its previous high that it had back in 2010?
As you can see from its daily chart above, the shares of URC have been on snooze mode since the start of December 2010. However, it appears that this sleeping giant will once again crawl back in the trading scene. You see, URC has been consolidating within a cup and handle pattern for almost 5 months now. Just last Friday, though, it seems that it has already broken above the pattern’s neckline. Or did it really do so? Well, while it looks that it did move past the neckline, there was no significant volume to support the move. Given this and the apparent resistance at the nearby PHP 40.00 level, URC could still face some selling pressure at present levels. But if it manages to move past PHP 40.00 and its volume surges as well, then there’s a big chance that it could once again aim for PHP 45.00 or even higher. A failure to do so, on the one hand, could place URC back in hibernation.