CapitaMalls Asia: Going XD on 23 April.

CapitaMalls Asia is paying 1.5c dividend per share on 9 May. It will go XD on 23 April.

What is termed as a true golden cross is going to transpire in the daily chart. This is when the 100d MA forms a bullish crossover with the 200d MA. This is usually an indication that the downtrend is well and truly behind us and any pull back to support is an opportunity to add to or initiate long positions.

A pull back could well happen. The rising price in recent session has not been accompanied by higher volumes. Indeed, the MACD might see a lower high forming, signalling a weakening positive momentum. In fact, a negative divergence could form.

We could see price pulling back initially to the support provided by the 20d MA at $1.56 and perhaps even $1.455. However, bear in mind that in rather bullish circumstances, we could see price moving sideways, doing a correction using time. In an uptrend, a sideway movement is more bullish than bearish.

A successful breakout would see the first upside target at $1.83.

Related post:
CapitaMalls Asia: Net profit up 42.6%.

Sabana REIT: Resistance to watch.

One month ago, I mentioned that Sabana REIT's unit price saw higher lows formed since August 2011 and that it was repeatedly testing gap resistance at 91c and 91.5c. I wondered then whether its unit price could break resistance to go higher. It did, going on to break resistance at 93.5c, and, in the last few sessions, tested resistance at 95c. It ended the day at 96c a unit with a massive buy up after market closed today.

Sabana REIT is my largest investment for passive income and what I have now is part of my core investment for passive income. So, it is unlikely that I would sell unless its unit price becomes very much over valued. Keeping the status quo, Sabana REIT would generate approximately 38% of my passive income from S-REITs alone this year.

I am expecting a higher DPU in the next quarter as contributions from acquisitions made in recent months as well as savings from lower cost of funding for newer loans kick in.

Technically, if the bullish momentum continues, 99.5c could be the next level to be tested in time.

At 99.5c, its distribution yield is still a very attractive 8.84%. I still feel that a fair value for the REIT's units is closer to $1.10 per unit which would see its distribution yield compressing to 8%.

Related post:
Sabana REIT: 4Q 2011 results.