Tea with AK71: 60c soya beancurd et al!

Tiong Bahru Market is a favourite eating place for me. Today, I had lunch there with my family.

The beancurd at Long Ji (Store No. 250) is the best and cheap too. I have brought friends and customers there before as well. Even the customers from Hong Kong are amazed at how good and inexpensive it is. 60c a bowl!

I always make it a point to bring some back to consume later in the day and night. A big container of yummy beancurd for only $1.10! I bought four containers' worth.

The dough fritters are only 70c each. I bought 3 for $2.00. I think the dough fritters at Food Republic are not as nice and they cost 90c each.

The Lor Mee is also famous.  There are two Lor Mee stores. This is the corner store next to a washing area. I cannot remember the store number. $2.50 a bowl and it includes fried fish and fried wanton.

Original Tiong Bahru chwee kway (steamed rice cakes?)! I prefer this to Jian Bo chwee kway. The secret of good chwee kway is really in the chye poh (pickled turnip?). Cannot be too oily and too mushed up. This is just nice. Price? A princely sum of $1.

Yummy. Burp.

CapitaMalls Asia: Up or down?

Someone asked me what is the probability of CapitaMalls Asia's share price going higher in the next two weeks? This is a fair question since TA is about probability. I am not saying whether it would go up or not but what is the likelihood of it going up or down. We are still trying to look into the future and it is never an easy task, if possible at all.

Looking at the daily chart from day 1, it is very obvious that CapitaMalls Asia's share price is in a long term downtrend. If we believe in trendlines, then, the very sharp downtrend which the counter is now consolidating within is likely to break. We could continue to see some upward movement towards trendline resistance, the nearest and steepest downtrend resistance line is approximating the declining 20dMA at $1.83 next week. Sounds familiar? Yes, $1.83 is a twice tested support turned resistance. Could be a tough nut to crack.

This is a very steep downtrend and, to be prudent, I might close a portion of my long position at $1.83, recognising the strength of the resistance, if tested. Remember, in a downtrend, selling at resistance is conventional wisdom. Keep the rest of my long position open to see if price could break resistance and head higher. In such a case, the next downtrend resistance approximates the declining 100dMA and that would approximate $1.96 next week.

Any signs from the momentum oscillators? Remember we said that the weekly chart is spotting a positive divergence? Remember how I am keeping an eye on the MACD in the daily chart to see if it could form a higher low? It seems that the MACD is forming a higher low. As price moved lower, seeing a higher low on the MACD is good news for bulls as it suggests a likelihood of a reversal in the downtrend.

What about the weekly chart? We still have a positive divergence between falling price and rising MFI and rising RSI. It is also quite obvious that the immediate resistance to watch is at $1.83. An encouraging sign is found in the formation of a white spinning top which is a probable reversal signal. This would need confirmation next week. All in all, things look pretty benign, technically.

Know where the resistance and supports are, know whether it is an uptrend or downtrend, check the momentum oscillators, act accordingly. It doesn't get any better than this, I suppose. Good luck.

Related post:
CapitaMalls Asia: Consolidating?

Daiwa ups CapitaMall Trust to outperform. Daiwa has raised its distribution per unit forecasts by 3.8% in 2012 and by 3.7% in 2013.
Friday, 04 March 2011

© 2011 - The Edge Singapore

STI +1.3%; valuations still attractive - SIAS.  It adds, “investors should start getting in on the market in small amounts as valuations are still attractive and the long-term uptrend remains intact.” 
Friday, 04 March 2011

© 2011 - The Edge Singapore