CapitaMalls Asia: Low volume sell down.

Price reached a low of $2.09 before closing at $2.11 which is the top of a mini double bottom formation. If $2.11 breaks, we could see a retest of the base of the double bottom at $2.02.  How likely is this?

Although price has moved down, volume has likewise reduced.  A low volume pull back. Good news. Second opinion? The OBV has turned down but it did not plunge which means no massive distributrion. Again, good news.

However, chart watchers would see the sell signal on the MACD histogram.  If this is confirmed in the next session, price is more likely than not going to move lower.

CapitaMalls Asia off 1.9%; 2Q fails to inspire. Earnings down 23.7% on year at $113.1 million as lower property valuation gains offset 31.9% rise in revenue.
Wednesday, 04 August 2010

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