Loser of the Week from the Top 100 Australian Stocks was Caltex, CTX, down -5.4%.This week's slump was caused by damage to the Brisbane Refinery from heavy rain - but the plant was unaffected by the flood.
This will still result in heavy loss of revenue. Reported by the Sydney Morning Herald:
"The financial impact of the unplanned shutdown of the refinery is expected to be in the order of $5 - $10 million (after tax) in 2011,'' Caltex said.
Technically, the pull-back doesn't look serious. The stock has broken below the Super Trend line on the chart but remains within the medium-term uptrend channel.
Friday was a narrow range bar on low volume. Friday and Thursday remained just above the 50-Day Moving Average and the medium term uptrend line of the up-channel.
If this was to be a serious fall, I would have expected Friday's action to have punched through support on heavy volume.
I could be wrong - but this looks like the end of the retracement. An up-day on Monday with increasing volume should be a decider.
As I see it, the biggest risk now to Caltex is general market risk. If the general market falls next week, then we may see Caltex break below the support of the uptrend channel.
Good luck
Red
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