Last post on SGX, suggested a possible bounce as long as price stayed above
$8.50.
It didn't, and as promised i went back to the drawing board. Here's what i found. SGX is sitting on a trendline going back to the 2009 lows, and is at an important support level around
$8.30. With the
STI on neckline support at
3120, this is as good a place as any for a
rebound. I will wait for the
break of the short-term downtrendline, before initiating a trade. Resistance levels as per last post, with
$8.50 level as additional one now.
A break below the uptrendline & $8.30 level could be
medium-term bearish for SGX. As always, i will have a suitable stop-loss in place. All the best!
Overall, the long-term chart of SGX doesn't suggest strength so far, which leads me to theorize that the merger may not work out eventually! Time will tell, but charts do whisper and occasionally yell. ;)
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