Olam breaks a critical resistance at $2.82 yesterday. The next resistance is $3.05 (extended resistance line back in Mar-May, 2008) followed by $3.224 (123.6% Fibonacci Retracement Level). A safer entry point to consider is when Olam retraces back to$2.82 to test this is a good support to confirm the breakout is successful.
If Fibonacci is correct, time is up for Genting Singapore after reaching 161.8% Fibonacci Retracement Level! Also note that a DOJI candlestick is observed in the last trading session indicates the end of an uptrend and potential reversal. Need to wait for the next candlesticks for confirmation. Sit tight and the roller coster may start! Also note that RSI and Stochastics are in overbought region.
Base on the chart pattern, Hyflux is currently trading within a Down Trend Channel. Hyflux will be facing a strong resistance between $3.20 to $3.25 which is a down trend channel resistance and also the 200D MA resistance. $2.80 which is a 61.8% Fibonacci Retracement support level may be a good entry point for long term investment in view of the company’s core competency in water treatment system and potential huge growth prospect.
