China Mihzhong has broken the neckline (about $1.14) of a Head and Shoulder, trend reversal pattern. The stock also broke the 20D and 50D SMA. The current chart pattern is bearish with breakout price target of about $0.98 (also 61.8% Fibonacci Retracement Level).
UOB rejected at $20.00 resistance with Bearish Engulfing pattern with a spike in trading volume. Is it a first sign of trend reversal? Anyway, I have shorted the stock using CFD base on my trading strategy “Buy Near Support, Sell Near Resistance” when I see a reversal candlestick pattern with a very tight stop loss just slightly above $20.00 resistance. All other technical indicators have not shown any bearish signals yet.
On a bigger scale, UOB is showing a Huge Ascending Triangle with a tough pyschological resistance at $20.00. 200D SMA support is at about $19.15.
Previous analysis on UOB Bank.
| Current P/E Ratio (ttm) | 11.5109 |
|---|---|
| Estimated P/E(12/2013) | 11.6775 |
| Relative P/E vs. FSSTI | 1.0717 |
| Earnings Per Share (SGD) (ttm) | 1.7175 |
| Est. EPS (SGD) (12/2013) | 1.6930 |
| Est. PEG Ratio | 1.3011 |
| Market Cap (M SGD) | 31,134.76 |
| Shares Outstanding (M) | 1,574.85 |
| 30 Day Average Volume | 2,327,567 |
| Price/Book (mrq) | 1.3577 |
| Price/Sale (ttm) | 3.6342 |
| Dividend Indicated Gross Yield | 3.03% |
| Cash Dividend (SGD) | 0.1000 |
| Last Dividend | 05/06/2013 |
| 5 Year Dividend Growth | -5.09% |
| Next Earnings Announcement | 05/09/2013 |
City Development rebound with a Bullish Engulfing (and Three Outside Up) candlestick pattern at the uptrend channel support at about $10.70. This $10.70 is a reliable resistance turned support level. The next significant level is support turned resistance at about $11.38. Current City Development chart represents a good opportunity for a short term bullish trade. This is also a good example that “Chart Pattern + Support / Resistance + Candlestick” is a much better trading strategy compare to the technical indicators like moving averages, MACD, Parabolic SAR, Bollinger Band, etc. These technical indicators still have not shown any bullish signals yet because they are lagging indicators.
