In the previous trading session, MMK shares rose 2.9%, closing at 56.31 rubles. The papers looked slightly better than the market. Trading volume amounted to more than 2.5 billion rubles.
The last two trading sessions, MMK shares have been renewing their all-time highs. The latter fell at the level of 56.9 rubles. Considering the situation on the metallurgy market, the growth is fully justified.
On the technical side, we observe the superiority of buyers and the stability of the upward trend. However, the RSI indicator reports strong overbought, which leaves the risks of consolidation or slight correction.
The next pivot point is at the level of 57.5 rubles. Its breakdown from the bottom up will open the way to levels above 58.5 rubles. Today, at an extraordinary meeting of MMK shareholders, a decision on dividends will be made. The benchmark is 2,391 rubles. It can be assumed that if a positive decision is made, MMK quotes will rise above RUB 57.5.
A change in sentiment will be indicated by a descent to 54 rubles, then a further decline to 51.2 rubles is not excluded. It should be noted that local decreases are not yet regarded as a change in the trend, it is only a technical need to remove overheating.
- Resistance levels: 57.5 / 58.5 / 60
- Support levels: 55 / 53.8 / 51.2
The external background is now neutral this morning. American indices after the close of our daytime session on Thursday remained at about the same levels. Operating Asian sites are trading slightly higher today. S&P 500 index futures and oil futures are not traded.
On the weekly chart, trend indicators show an upward direction. The RSI indicator is directed upwards and is in the overbought zone. The MACD curves show the formation of an uptrend. The 50- and 200-week moving averages began to reverse upward.
The company showed good results in the third quarter of 2020. Now this is a driver for growth or maintaining a relatively high price. If the positive continues to persist in MMK shares, buyers will soon be able to gain a foothold above RUB 58, which will open the way to levels above RUB 64.
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