Monday, June 6, 2011

Orchard Parade Hldgs

Orchard Parade Hldgs: CIMB has technical Buy call. Note that stock is still holding above its support trend line that has kept prices on its uptrend since May10. Prices are now testing the resistance trend line at $1.58 and a breakout above this level would likely mean that prices could be heading towards the Nov10 high of $1.75…..

However, it is also possible that prices formed a triangle here. If it has formed a triangle, then prices need to pullback once more, likely towards its MA near $1.50-1.53 before attempting to breakout…..

Recommend traders would be better off waiting for a pullback to US$1.50-1.53 before accumulating. Only a break below the support trend line $1.46 would derail the uptrend. The gap at $1.65-1.68 is likely to draw prices towards it in the coming days

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