Charts in brief: 19 May 10.

The STI declined to test and break 2,780 today. We will have to see if it bounces back to close above 2,780 tomorrow or if it would continue its downward path.  If it continues to decline, there is potentially much room to fall.  I am still staying cautious and waiting to see some signs of a stronger support holding before adding to my positions.

STI declines 2.5% to 2,774.54 at closing
Wednesday, 19 May 2010

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CapitaMalls Asia: Closing at $2.10 after gapping down today confirmed a lower high for this counter.  The downtrend is intact.  I am 100% divested. See how the volume expanded on a down day? Sell signal seen on the MACD. MFI and OBV have both turned down. More likely than not, this counter is continuing its downtrend.

SPH: Price continues moving downwards towards the 200dMA at $3.70.  If tested, will it hold? We can only wait and see.

Given the current bearish atmosphere in the global stock markets, it pays to take a longer term view in our investments.  To this end, take a look at the weekly charts.  A stronger support for SPH is actually at $3.60, where we find the rising 50wMA.

LMIR: 47c support has been taken out.  With price closing at 45c today, I drew Fibo lines to find the next supports.  It appears that 44c is only a minor support as suggested by candlesticks.  If the decline continues, next major support is at 42c. As seen in the weekly chart drawn yesterday, 41c is support provided by the 100wMA but as this MA is still declining, if conditions are bearish enough, we might see 40c tested.

I am staying sidelined and will wait for the dust to settle.

Related post:
Charts in brief: 18 May 10.