Charts in brief: 28 Jun 10.

CapitaMalls Asia: This is hanging on to support at $2.14 but barely so as price touched a low of $2.11 today.  The 20dMA which is providing support at $2.14 seems to be flattening. More significantly, I would like to draw attention to the fact that closing at $2.14 today is different from closing at $2.14 last Friday because the uptrend is now broken.  MFI continues its decline and the MACD looks set for a bearish crossover with the signal line.  I would not go long at $2.14 now.  The downside risk is too high.

Golden Agriculture: An inverted white hammer on lower volume. Momentum oscillators are flattish.  There is just no oomph in the upward movement in price today as it touched a high of  54c before closing at 53c.  Immediate support at 52c as provided by the 20dMA.

Healthway Medical: Its price is showing resilience as trading volume declined. 19c has been established as the immediate support. OBV is flattish and there is no sign of distribution. However, MFI and RSI are both hugging the borders of their respective overbought zones.  Might this exert some downward pressure on price or is this counter just doing a correction using time and would resume its uptrend once the 20dMA catches up?

SPH: This counter has been delivering pleasant surprises lately. Today, it closed at $3.88.  This effectively overcame the declining 50dMA as resistance. $3.88 was the eventual target of a mini double bottom I identified some time back.  I also divested some shares at this price not too long ago. The move up today was not accompanied by an expansion in volume.  So, I am doubtful about its strength.  However, the MFI and RSI are both rising and their uptrends are intact.  Momentum is good and if the price continues rising to hit certain Fibo lines, I might sell more of my remaining shares.

Related posts:

CapitaMalls Asia: Weakening technicals.

Golden Agriculture: Inverted black hammer.

SPH: Reading the lines.

CapitaMalls Asia: Weakening technicals.

CapitaMalls Asia broke out of its symmetrical triangle on 16 Jun on higher volume. It then went on to break resistance provided by the declining 100dMA which coincided with the trendline resistrance on 21 Jun. It was not able to advance much further and I suggested looking at the 100dEMA which made it clear why it was so.

In the last session, support was provided by the rising 20dMA and a short white candle was formed. The 20dMA in recent sessions has merged with the trendline support and, theoretically, should be a strong support.  This is the third time this trendline support has been tested.  If a trader had bought some shares of CapitaMalls Asia each time its price tested this trendline support, he would have made some nice gains.  So, is it time to buy again?

If we look at the RSI, the uptrend is intact, which suggests that price is rising at a sustainable pace. However, a lower high was formed recently. So, a loss of momentum is being registered.

In recent sessions, volume rose as price retreated. So, let us look at the MFI which accounts for both price and volume. Here, we have a less optimistic picture as the MFI has clearly broken its uptrend. This suggests that demand has dropped and that more selling is underway.  This is a major difference from when the trendline support in question was tested twice before. In those earlier tests, the MFI was still uptrending strongly. Technically, the picture is weaker now.

Resistance has been established at $2.22 and immediate support is at $2.14.