My purchase of more shares in Capitaland yesterday at $2.81 per share, unfortunately, did not turn out well. Today, its share price closed at $2.75, the day's low. There are some very determined shortists. The bears have won for now. Well, this is the risk one has to accept if one were to go long in a downtrend when there are no clear reversal signals. Too bad for me.
I am going to employ Fibo lines which have worked so well for me on other occasions to help determine where would we find the next support. Taking the high of $4.23 as 0% and $3.08, a natural support as 100%, we see a clearer picture.
$2.81 is where we find the 123.6% Fibo line, not a golden ratio and, as it turned out, it was a weak support which held up for a while in ......