SPH: Net income in Q1 doubles

SPH delivered a set of impressive results, as expected, as first-quarter net income rose to $144.7 million from $73 million a year earlier. This is likely to give its share price a bit of a push upwards tomorrow despite the bland technicals.

Rising 100dMA provides support at $3.62 and with the positive news flow, it should limit any downside. If price closes above $3.69, a many times tested resistance level tomorrow, it would likely move up to test the resistance provided by the declining 200wMA at $3.80. Breaking $3.80 would give a target of $4.00.

Healthway Medical: A grave situation?

Towards the last half hour of the trading day, it was quite apparent that the bears have won the day. There were too many sellers with almost no buyers and price closed at 18.5c to form a gravestone doji. Selling down activity accounted for 24.6m shares while buying up activity accounted for a paltry 1.2m shares.

The steep uptrend seems ultimately unsustainable. Sell signal on the MACD is confirmed while the MFI moved lower, remaining overbought. Even though the continuing sideways movement in price is taking place on the back of reducing volume, without any significant buying up activity, price is likely to lower in time.

Strategy: I have divested more of my position in Healthway Medical in the last half hour of the trading day. What remains is 20% of my original investment. I now look forward to accumulating at supports as the expectation is for the counter to do a correction in price.