BIL brambles industries limited

Brambles entry point?, page-10

  1. 768 Posts.
    The open interest on the 6.50 19/12/02 ETO's is also high at 2,200. Seems a risky but potentially profitable play.

    The $6 mark, for BIL, is also an important support/resitance level. At the same time of the year, as we are currently in, in '96 this marked a resistance level and then in '97 it marked a support level, quickly rebounding off the level back to $7, and then to $10 within a year.

    The problem and majjor difference that i see is that, at that time, the trend was on the up, and now, obviously, the trend is down. Having said that i still believe that the support is strong and the stock has remained above $6 with a lot of selling pressure. The selling pressure must have been alleviated somewhat with such a massive parcel going through.

    Hence i have taken a speculative position and purchased some $6.50 december calls yesterday at 10c. You should all therefore be very wary about buying any calls now . . . .

watchlist Created with Sketch. Add BIL (ASX) to my watchlist

Currently unlisted public company.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.