Dear all
With reference to my market outlook published on National Day (see HERE), markets have broadly declined, in line with my expectations, with STI and Hang Seng touching their highs on 10 Aug and 11 Aug respectively before dipping.
Amid the recent weakness, two stock charts, namely Comfort Delgro and Q&M Dental catch my attention. Let’s take a look.
Comfort Delgro
Based on Chart 1 below, Comfort Delgro has retreated to the low last seen in Nov 2020. It is currently at $1.51 and is testing an important support around $1.50-1.51 for the past three days (inclusive today). Although the exponential moving averages are trending lower with a rising ADX (i.e., bearish signs), its RSI (currently at 32.9) is also approaching near oversold levels. Based on my personal chart observation, it is rather unlikely for Comfort Delgro to stage a sustained break below $1.50, barring negative news flow from covid situation or / and company specific negative factors....