Golden Agriculture - Confirmation

Opening with a gap up today confirmed the bullish signal seen on the weekly chart yesterday which was the price closing above resistance provided by the descending 100wMA at 51c. That cleared the way for the counter to move higher. It just needed some buying momentum which was amply provided today as volume quadrupled! This is a strong confirmation even though it is now met with resistance at 54c. This is a short term resistance provided by the 123.6% Fibo line and has a high chance of being overcome in the next session as we have a wickless white candle today. Initial target is at 57c as provided by the 150% Fibo line. Eventual target remains at 62c as posited on 29 Dec 09. 29 Dec 09: Golden Agriculture

Fundamentally, the higher prices of soyoil and crude oil are limiting the downside of crude palm oil (CPO). With the Chinese New Year upcoming next month, demand is not expected to decline anytime soon. For more reasons why CPO is expected to do better in time, please refer to an earlier article in this blog: Crude Palm Oil: Update

Saizen REIT - Breakout

Saizen REIT had a nice breakout today as it started the day at 15.5c, above the resistance trendline which I've drawn in orange color, and proceeded to form a white candle. Volume expanded respectably with the upward movement in price. MFI has turned up sharply but being only slightly higher than the halfway mark, this counter is nowhere near overbought. MACD shows a strong buy signal. A quick look at the weekly chart shows the descending 100wMA at 21.5c. There is more upside to this counter yet although it should encounter initial resistance at 17c, the previous high.

As stated in my earlier articles about Saizen REIT in this blog, fundamentally, it is undervalued and should be worth a lot more. Factors in favour of Saizen REIT include (but might not be restricted to) stable income streams due to relatively inelastic demand for Japanese rental apartments, a lowering debt level, persistent insider buying, a strong Yen which means NAV should be adjusted upwards and could give rise to potentially higher yield as well. Over the next few months, Saizen REIT should see greater appreciation in price as more investors realise its true value. Congratulations to fellow unitholders!
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Passive income with high yields: Saizen REIT