OCBC’s upside look limited as the stock has reached the critical resistance level at about $9.00. This level is 52 weeks high and also the resistance of the previous up trend support. A Triple Tops may be in formation with the same neckline extended from the previous Double Tops. Have a close eyes to watch whether 20D, 50D and 200D MA support is strong enough. If the neckline is broken at about $8.10, the price target is $7.00.
UOB Bank seems like forming a Right Shoulder of a Head and Shoulders pattern. The neckline is at about $18.10 which is also a 78.6% Fibonacci Retracement Level. Price target for the breakdown is about $16.00
SGX is still trading within a long term Broaden Descending Wedge (Green). In a medium term, SGX has formed a Descending Triangle (Blue) in 3 months. Currently SGX is testing the Descending Triangle’s resistance (at about $7.596) but this resistance is quite challenging to be broken as it is also combination of 20D MA, 50D MA and 23.6% Fibonacci Retracement Level). Also take note that “Lower High, Lower Low” pattern have been formed on the chart and SGX looks bearish in the long term. Upside potential is capped at about $7.85 which is also the 200D MA. 200D MA line has also started the down trend and that is another reason to be concerned. My price target for the breakdown remain to be the same, which is $6.30 or lower for the time being.
