EDC price fluctuation vs tender offer price

Energy Development Corporation

With the recent announcement of a Voluntary Tender Offer for EDC Shareholders, price fluctuation below the tender offer price can potentially give an investor/trader a good gain in a relatively shorter period of time.

Tender Offer Details
- Tender Offer Price: P7.25 per share
- Offer Period: August 10 ~ September 18, 2017
- Closing/Cross/Settlement Date: September 29, 2017

Trading Plan
- Accumulate at below tender offer price with consideration of upside potential, sell to the market near offer price or higher.
- Participate in the tender offer if remaining position cannot be disposed off the market.

EDC: Short term profit taking pattern

Energy Development Corporation

EDC has potentially completed a Bearish AB=CD harmonic pattern with potential reversal zone (PRZ) around 6.29 (6.21~6.38 range). The harmonic pattern also potentially completed as EDC hits the immediate resistance at 6.30.

*RSI entered the overbought territory while price failed to break resistance, a bearish sign.
*Trend remains strong (DMI/ADX).
*Buying pressure remains intact.

Trading Plan
- Wait for reversal pattern.
- Or take some profit/scale down position and profit run the rest with trailing-stop.