Genting SP: 38.2% Fibo.

On 1 Oct, I mentioned that "I feel that a resumption of a downward movement towards the 50dMA is likely and that further upside could be capped by the 38.2% Fibo line at $2.05."

Today, an effort to further advance the rebound in the last session sputtered as price hit a high of $2.10 only to retreat to close to $2.04, 1c lower than the resistance identified at $2.05. A white candle with a long upper wick was formed, suggesting the presence of strong selling pressure as price tried to move higher.

Immediate support is now at $2.00, underpinned by the rising 20dMA, on top of being a many times tested support and resistance level.  Immediate resistance remains at $2.05.


Related post:
Genting SP: A strong rebound.

Increasing demand for S-REITs.

Morgan Stanley says that S-REITs will benefit from low borrowing costs and a stronger S$. The high dividend yields make S-REITs attractive with limited downside.

Singapore’s high-yield REITs attractive. Yield spreads for REITs will remain high while interest rates are low, meaning cheaper funding costs for the trusts, Morgan Stanley says
Monday, 04 October 2010

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Although Morgan Stanley specifically mentioned Mapletree Logistics Trust and Ascott Residence Trust as being upgraded to Overweight, I believe that smaller S-REITs with even higher yields will get some attention soon as well. It is a matter of time and I will be patient.

Today, Saizen REIT saw its 15.5c sell queue bought up to the tune of 6,068 lots. There were three trades which were buy ups of 1,000 lots each. Could this REIT be attracting the interest of some deep pocketed investors?

Incidentally, I have accepted and paid for the rights of AIMS AMP Capital Industrial REIT this evening. I also applied for some excess rights.  Hope I get some. To fellow unitholders, please remember that the deadline is 7 Oct (Thu), 9.30pm for applications by ATM.

Related posts:
Office S-REITs VS Industrial S-REITs.
AIMS AMP Capital Industrial Trust: Rights issue.
Saizen REIT: Better than expected DPU.