Base on the chart pattern, Yanlord has been trading within a Down Trend Channel for the past 4 months. Yanlord is currently testing the down trend channel resistance for the 3rd time at about $1.80. If Yanlord cannot break this resistance, the downtrend will continue. Next important support to watch is $1.677 which is a 50% Fibonacci Retracement Level. Pay special attention that all three Moving Averegas 20D, 50D and 200D are in the downward direction.
Wilmar is testing an important resistance for the 3rd time at about $6.45. Do take note that this level proves to a strong and tough resistance to be broken for the past few occasions. Coincidently this level is also very near to the current 200D MA, and also the resistance of a potential Ascending Triangle pattern. If this $6.45 is broken, the next immediate resistance is at $7.00. Else, Wilmar will reverse the trend with the immediate support at about $6.044 (78.6% Fibonacci Retracement Level).
We use PE ratio (Price per Earning) to gauge whether the market is over value or under value. This information is helpful because it gives us an idea whether we should go long or go short with the market.
As a rule of thumb:
Summary of Major Stock Market Indices PE Ratio.
