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Bond of the Week: 15 November 2013

Gradual rally by Workspace 

    

In addition to the bond of the week there is also an opinion piece on Co-Op here.

The Workspace bond price encountered support around 104 in the earlier part of October (see top chart). Although the decline from the peak has been checked, the subsequent recovery has been gradual, and has not yet reached 105 in about a month. In the absence of an upward dynamic, to improve sentiment, risk remains of a renewed fall back towards the low near 101.

The middle chart shows the FTSE ORB Index dropping back from an overbought position (see recent high level of the RSI). The Index has now reached potential support, however, from the upper side of the small base area; and 50-day moving average. Note that line provided a lift at the last time of asking.

The chart pattern for the actual Workspace Group share price is far superior to both the above. The price achieved another all-time high recently just above 500. A breach in the 200-day moving average would need to occur in order to interrupt the uptrend.

Workspace charts

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