K-REIT: Immediate target.

I suggested that K-REIT's price action could be falling into trading bands.  If we look at the chart, it seems quite obvious.  Today, price traded at and above $1.34, the resistance identified on 14 Sep when I said "K-REIT seems to be trading in a 6c trading range recently: $1.16 to $1.22 and $1.22 to $1.28".  I also said "in the event that $1.28 resistance is taken out, one could therefore expect $1.34 to be the next resistance level."

With $1.34 now possibly resistance turned support, the next resistance level should be at $1.40.  This is likely to be a stronger resistance level as it is also a round number.  Fundamentally, at $1.40, K-REIT would be trading at a mere 4.8% discount to NAV and its yield would be pretty low at 3.8%. I would probably do a partial divestment if price does test $1.40.

Related posts:
K-REIT: Moving into the next band?
FCOT, CCT and K-REIT.

Buying gold? Wait for a correction.

Jim Rogers predicts "more turmoil" in the currency markets, more problems in the stock market, weakness in bonds and, ultimately, inflation.

 
Posted Oct 06, 2010 07:30am EDT by Aaron Task

"Gold could correct for a few months [but] the bull market in gold is not over - far from it," he says. "I'm much more bullish on agriculture than I am even on gold. I own both."

In the meantime, he owns the Swiss franc, euro and yen but is not actively short any currencies, including the greenback.

In case of a correction, I see immediate support at US$1,250 an ounce, followed by US$1,200 an ounce.

Related post:
Gold can double from here over the next 5 years.