STI continues its bearish signs - Bearish harami after a 1-day knee jerk rally on Yuan.

Singtel potentially forming a H&S?

What goes up must come down?

Is this peak for STI in June? Indicators hint yes. Period

1. GMMA just turned down
2. Stochastics just did a cross over
3. MACD starts to show the first glimpse of negative divergence
4. Ichimoku indicators turned down.
5. Bearish engulfing candle at friday's closing

But but but - incredulously low volume for (5). This means some joker was manipulating it. Retailers who are still holding have yet to dump their shares or staying on the sidelines. Low volume suggests that one should be prudent by waiting a confirmation on monday.

Momoeagle & Holy have also posted their 2 cents worth. Momo uses fibo levels to gauge the possible peak and hypothesize the Elliot Wave count. Holy on the other hand, uses moving averages to gauge STI's next movement. Interesting reads as usual. What's more important is that all of us are bearish. I guess that pretty much sums up everything heh heh ;)

Do take note that weekly chart seems to suggest STI has room for more upside... but thats a story for another day.

Hyflux so power ah?

In 7 trading days, it rebounded, paring 3/4 of the losses. Hyflux holders must be thinking, "Ho seh liao. $4 ai lai liao lah".*sniggers*

Technical indicators shows that this counter is way overbought. The dragonfly doji being a moderate bearish a sign, adds weight to the analysis. However, this requires confirmation. Monday, technical indicators will shed light whether this uptrend is being maintained. Tuesday could be a perfect time to confirm this.

Time to sell CapitaLand & Short KepLand?

I mentioned in an earlier post that KepLand could be primed for shorting. Here's why:

1. Potential double top albeit formed all within a month which might not hold.
2. Hanging man candlestick which requires confirmation
3. MACD has begun to show negative divergence
4. RSI & Stochastics indicate overbought
5. Volume is pathethic, which signifies the rally is artificially manipulated by the big boys
6. MFI shows that money has begun to flow out of this counter.

(1) to (6) are bearish signs and require confirmation.

CapitaLand's closing today resulted in a doji or a half baked gravestone doji - which means this might be the peak.

Golden Agri & Wilmar - What do they have in common?

Based on charts, GAR seems to have broke out from a somewhat descending triangle. Wilmar on the other hand is more obvious. Potential breakout on the cards? Perhaps.

Follow up on CapitaLand

The 38.2% retracement level will be a major resistance.It also coincides with the kumo cloud. However with STI rallying up abit, I expect CapitaLand to close above the 38.2% retracement level. Target price set at 3.79 followed by 3.9.

Let's see how this pans out. I am vested in this.

P/s: KepLand looks like a promising candidate to short. More on this tomorrow.

CapitaLand to pull a surprise?

Initially it looks as if there is a descending triangle being formed here. The decreasing volume seems to support it. Other also look at it as a rectangle pattern - consolidation or a pause from the downtrend before dipping further.

Then somehow last friday, it bounced up, breaking the formation with a decent volume, suggesting perhaps the trend might be gearing towards the positive camp. Is this a fake head? Let see.

• Chaikin money flow index suggests that selling pressure has been weakening. RSI & Stochastics are supporting this claim with the rise in their indicators.
• MACD has a slight positive divergence.
• Guppy short term averages seem poised to meet the long term averages which suggests that price will appreciate to align with the current long term price. 
• $3.50 support has been tested 4 times. Every failed attempt only to serves to make this support stronger. I can only infer that $3.50 is likely the bottom.

The next two days will confirm if there has been a trend change for CapitaLand.

Can you tahan the volatility?

The common patterns we see everyday:

• Up one day, down the next day
• Up for 3 days, down the next day paring all previous 3 days gains

If you're trading full time, then you would love the volatility. Small time investors like me who hold a full time job is best, to stay at the sidelines. The effort vs gain in my humble opinion is not worth it. At this moment as Im typing, DOW looks like it might test the 9800 mark. If that support breaks, its a bear market (!)

Market SEEMS poised to retest May lows

Markets seems poised to retest the new lows and critical supports. This will be the turning point so keep a very close watch.

On a side note, this buying & selling is not worth my time. The paltry gains take up much of my work time; Im better off channelling this effort elsewhere. So im taking a break temporary n walk the talk by keeping vigil on those lows and critical supports - less stressful ;)