BANPU : 550 next target, but there’s risk of it falling further…530 then 510
September 22, 2011 Leave a comment
Back on May 22 we said BANPU (at the time it was at 722) will likely fall to 640 during Q3, and indeed it posted a low at 588.
We expect 588 to fail in the near term, so treat any bounce in the next few days as a time to sell. Downside risk to 550 or so looks almost certain, and we would not be surprised to see it hit 530 or so, even the 500-510 range.
If Europe sees a sovereign default – which is quite likely – then we think BANPU will fall to nearer 460.