On Wednesday, Yangzijiang re-test its major resistance at $1.69 and closed at $1.67 with regular volume of 22.7 million shares traded.
A doji star occurred (where a doji gaps above or below the previous candle). This often signals a reversal with confirmation occurring on the next bar.
Both RSI & MACD are bullish though RSI already at overbought region.
Important Resistance of Yangzijiang: $1.69
Immediate Support of Yangzijiang: $1.64
Currently prices are well above the 20/50/100/200 days MA.
We would not encourage buying this stock now since it is relatively high and RSI at overbought level.
If vested, we would watch out for the support at $1.64 and suggest profit take if breached with high selling volume.
On Wednesday, Capitaland re-test its major resistance at $4.01 and closed at $3.94 with LOW volume of 7.29 million shares traded.
A LONG black candle sticks with short upper shadow indicates the profit taking from some traders since prices has issues going above $4.01.
Both RSI & MACD are bearish as RSI remains trending downwards.
Important Resistance of Capitaland: $4.01
Immediate Support of Capitaland: $3.91
Currently prices are supported by the technical/ 200 days MA at $3.91.
From the charts, we could see that Capitaland is forming a descending triangle since Aug 2010 which is a bearish sign.
We will watch if the support at $3.91 can hold the prices before making any trading decisions. If the support were to give way, high selling pressure will be expected.
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