reversal at peak

time to share some trading views. it's been awhile since i've put up anything, so lemme just get the ball rolling again.

with STI closing in the red today, the daily chart for the past 2 weeks nicely shows a double top formation. other indicators may confirm the reversal with stochastic cutting its signal and RSI showing a bearish divergence. why i would say that this might be a potential reversal? simple. the market failed to break its previous high of 2285, created a peak and sank. RSI shows a weakening momentum, indicating weakness in the upwards movement. we could see STI moving to 1990, which is a 50% retracement from the start of the up move. important level to watch is the 2132 support, in which a move below this could signal the retracement or reversal.

i was long on AREIT a few days back, showing a nice upwards hammer with a stochastic cut. RSI also shows a positive divergence and the stock was on a steady uptrend. however, it started acting weird with 2 days hovering around its open, indicating that it has lost abit of steam. so i guess it was right to pull out. the stock closed at 1.36 today, not a very good sign. i'm not turning short on this stock just yet although 10EMA has already cut 20EMA. worth waiting a little bit more.

i always loved looking at capitaland when trading volume is high. today it made a reverse hammer, hanging... short signal? maybe, but i would prefer it to gap up in the sky, at least showing me a shooting star. other indicators such as stochastic and RSI showing that a downwards move is imminent. a slight bearish divergence on the RSI that i would not discount, but its worth looking. capitaland would be a good short, just look out for 3.33 and 3.13 support levels.