technical analysis for week 02/06 to 06/06

back again with some analysis of the stocks of SGX and Capitaland this week. as always, let's begin with the stock that helped me made money from my first ever trade.

the market week began, well not surprisingly, with a very low trade volume. SGX began the week with a very weak start. throughout the week, the share price closed very near its strong resistance of 8.00. consolidation is definitely occurring here as the prices have no general direction and prefers to hover around the support levels. with a very weak market activity as ween with the relatively low volume of trading occurring this week, it is no surprise that the prices remain stagnant at the end of each day.

currently, analysis of the indicators doesn't prove to be of much use as there are no clear long or short signals. with almost a flat line this week, the trend for next week is as smoky as my camp's smoking corner. then again, no point predicting trends.

Capitaland did just what i had expected due to its lower open on monday, and that is retreating back to its strong support of 6.20. this is a rather strong support level . even when trading volume remained low, prices are still rebounding off this support level. again, the retreat to support was interrupted by a spike in price on thursday.

technical geeks may want to consider a possibility of a rectangle formation. if volume remains low throughout the trading range of 6.20 and 6.50, a spike in volume might result in the eventual breakout of the support. however, this is purely speculative and the trend should be monitored for another week or two. day traders for highly geared Capitaland warrants are still happy due to the volatility of this stock.

well, nothing much to say at least for the week. its 3 weeks since my last trade and i can't wait to get back in the hot seat.

PS: for those who are keen in investment opportunities, avoid the equity market for the time being due to the stagnant market and high inflation rates. speculation on equities via technical analysis is very risky and not for the risk adverse. for help on investment advice, feel free to approach a me or any trading representative.