Monday, October 31, 2011

China Fishery

China Fishery: CIMB has Technical Buy Call. House note that prices is still trapped in a downtrend channel but a short term bottom could have been formed at the S$1.00 low. If house is right, prices should rebound towards its 30-day and 50-day SMAs, at $1.12 and $1.16 respectively, soon.

A stronger rebound towards the downward slopping resistance trend line (now at $1.21) is also possible if these moving averages are taken out. Buying momentum are picking up and this evident from the improving technical landscape. MACD has staged a positive crossover while RSI has also hooked upward. Any pullback is an opportunity to accumulate. However, always put a stop at below $1.035-1.00.

No comments:

Post a Comment