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M1 (Long - SG Mkt) Educational

Disclaimer: The following is the purpose of education and do not constitute as any form of financial advisory. And readers are encouraged to verify all information as the posting contributors do not warrant the accuracy of the information provided.

M1
E: S$3.20
S: S$3.13
T: S$3.49

Remarks: Price's downward trend may come to a halt as support zone approaches with 200 DMA coming up. RSI, a momentum indicator has indicated the price is in Oversold region.


If entry at S$3.20, including special dividend, the dividend yield is 6.5% (using Share Price of S$3.20 and 2014 total dividend of S$0.212).

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Wyckoff's Law of Effort

Law of Effort Wyckoff's Law of Effort states that on any single trading day (or week depending on time frame), huge volume (effort) push by participants should see huge price movement, resulting in a wide spread (long body). This is a basic principle of effort and result. However, as per Singtel's case study, we saw huge selling volume on 11 May, yet the price action only shows a narrow spread (small body). This divergence of effort and result in Wyckoff's Law of Effort principles, indicates possible exhaustion in selling or hidden buying. Thus, with a lack of weakness, Singtel should continue trading range bound for the coming days or weeks till further strength or weakness is observed. Swing Traders who trades range can consider positions at 3.70-3.72, with exit target 3.76-3.78.

DBS Group Holdings (D05): Upward Move Expectations

  DBS Group Holdings (D05) Upward Move Expectations Technically, price trading above 36.58, could see DBS Group retest  previous high of 38.55. Both Relative Strength and momentum indicator FFI are supportive of the move. Stop below 35.42 Disclaimers apply

Keppel DC REIT (AJBU): Expect price to trade towards S$2.00

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