Skip to main content

Yangzijiang Shipbuilding Ltd (BS6) – Bullish Momentum Boosting Near-Term Outlook

 



Yangzijiang Shipbuilding (YZJ) has been exhibiting favourable technical and fundamental observations.


1. Technicals

The chart shows a price breakout above S$2.75, which had previously served as a strong resistance level. This breakout occurred with increasing volume, indicating strong buying momentum.

  • Price Targets:
    - 1st Target: S$3.0
    - 2nd Target: S$3.20
    - Trailing Stop Loss Box (7): S$2.36 (Current)

These targets are in line with Fibo extension, 1.618% (S$3.02) and 2.0 (S$3.19).

Support and Stop-Loss
Investors should keep an eye on the trailing stop at S$2.36, derived from current Box (7) value.

Relative Strength
While the stock is outperforming the STI index, the relative strength index (RSI) is not yet overbought, signaling room for further upward movement.

2. Fundementals
YZJ's robust strong order and underlying structural trend in shifting to clean Energy Vessels container and LNG vessels, continues to support company's order book, which extends into 2026, provides revenue visibility and investor confidence.

Disclaimers Apply




Most Popular

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
Read more

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.
Read more

Singapore Banks Could See Short-term Pullback

  Singapore Banks: Larger than usual sell off today. Banks could see short-term pullback or consolidation following their recent rally.  Disclaimers apply
Read more