Capitaland - Still going through retracement swing

Posted: August 7, 2009 by fievel in Labels:

Exchange: SGX
Counter: Capitaland
Current Bid/Ask: 3.69/3.70

As discussed in the last entry, Capitaland is still undergoing the retracement swing...looking at the chart above, you can see the strong resemblance in the technicals in the current period and the 15April - 29April period (marked by vertical lines).

The Declining Price on Declining Volume tells the biggest tale here. Until we see a pick up in volume, which means more and more people are willing to pick up the counter at the lower market price, we should not be seeing this counter make any significant daily gains. The RSI and the MACD are, as we know, slightly lagging indicators. They serve to guide us as confirmations and it is perfectly fine to enter 1 day into the upswing, as we aim to ride on the "body" of the upswing, not time the entry by looking for the bottom.

Today's volume as of now (not shown in daily chart above), 35 minutes into market opening, suggests a high volume (at least double) trading day. So the upswing should not be too far away.