End of day look at STI and some stocks

General market direction? Above is a daily chart of the STI. We are still going sideways, with heavy resistance at 3032, initial support at the 50day moving average line at about 2960 and a much stronger pivot support at about 2910. Momentum has dropped again.




Let us have a look at a relatively strong stock in the STI. Above is a chart of Genting. It hit a high of 1.77 in late March before retracing to a low 1.65 in early Apr 2012. So support and resistance for Genting would be 1.65 and 1.77 respectively. Prices look like they will stay above both the 50 and 200 day moving averages. The trend is sideways and is slowly trending up.




Here is a counter which looked rather promising in late February and early March 2012 after it broke its previous high. But after reaching it's all time high of 2.25, it went sideways and eventually broke support of about 2.09 to head lower. It looks headed towards the 200day moving average of about 1.96.



Once a darling of the stock market, NOBLE GROUP, after hitting a high of $2.40 in late December 2010, has been on a downward trend. Things looked a bit promising in Oct 2011 when it managed to break the 200day moving average, but it fell to a low of $1.05 after it announced losses and the resignation of its CEO. The stock made a sharp recovery in early 2012 to reach about $1.54 and has been slowly drifting lower. Today's close looks like a candle stick hammer, and looks to signify that a bottom has been formed and a reversal looks possible. $1.23 is also a key level when price reversals have taken place. Let us see if indeed a bottom has been reached for NOBLE GROUP.

sti, genting sp

Above is a daily chart of the STI. The STI is still range bound between 3032 and about 2910. But it does look like the momentum is strengthening (look at the MACD histogram). The longer term outlook (based on the 200day moving average) is slowly moving up. So on the longer term, the STI looks poised to go higher. Support looks to be at the 50day moving average, which would be about 2960. Heavy resistance is at 3032.




Genting SP has been slowly tracing higher lows and now both the longer term outlook (looking at the 200day moving average) and medium term outlook (based on the 50day moving average) are on an uptrend. Support is at 1.68 and resistance is at 1.77.

STI, Noble group and ezion holdings

Above is a daily chart of the STI. The STI tested support of the 50-day moving average but managed to recover to close above yesterday close. So far 3032 has proven to be a very stubborn resistance level. However, the 50-day moving average has also proven to be a rather strong support. From the look of things, i believe the STI will break 3032 on the upside. I just do not know what will be the stimulus that will do the trick.




Above is a daily chart of Noble Group. The price action for Noble Group is not looking good. The price has been going sideways, but the bias is to the downside as it is making lower highs. Support of the 50-day moving average was also broken yesterday, and today, it closed lower again but ominously, on high volume. It recently announced that the company is issuing Islamic bonds, but looking at the market reaction, this is not viewed positively.




Above is a daily chart of Ezion Holdings, a company that is into chartering and offshore support business. The price action is on a steady uptrend, with a bit of a correction at $0.97, where quite a bit of shares changed hands. The 50-day moving average appeared to serve as a good support level during that correction. It has now broken its previous high of $0.97 and closed strongly at $1.025. I think this counter is worth looking at.

STI - sideways

Good evening. We seem to have hit some form of impasse here. The STI is still trading sideways and to be honest, it is pretty frustrating. 3032 is still very heavy resistance, with strong support at the previous low pivot at about 2910. Intermediate support is at 2950 (the 50day moving average). Momentum has also drifted sideways, but the MACD lines are still above zero, so the bias is still towards the bullish side for now. With so much uncertainty, it is not surprising that most people are at the sidelines.

STI - consolidating

Sharp sell-off in the STI during the late afternoon as indications of a global slowdown are getting stronger. Initial support looks like the 50day moving average mark at about 2950. Resistance at 3036 looks firmly entrenched.

A look at STI and Ezion Holdings

Above is a weekly candlestick chart of the STI. The STI has spent almost 7 weeks between 2900 and 3030 points. We only managed to close above 3000 points last week and we closed just about 3000 points today. From what i can see on the weekly chart, we are in an uptrend; the STI is above both the 200 and 50 period moving averages, MACD is on an uptrend, but the momentum is falling. But we seem to be in a holding pattern. Volumes are down and there seems to be plenty of uncertainty moving forward. The best strategy now appears to be to buy on dips, but since there is so much uncertainty and scepticism around, i suspect most people are on sidelines.



i was scanning the top volume counters and noticed that companies involved in offshore and marine business are enjoying pretty good runs. One of them is Ezion Holdings. The weekly chart is above. It enjoyed a pretty powerful rally since its breakout from a descending trendline, which started first by breaking the 200, followed by the 50 period moving averages. It broke above its previous high of 0.890 in mid Feb 2012, peaked at 0.97 before being sold down upon news of a rights issue. It has since recovered and has managed to stay above 0.890 for the past 3 weeks. It looks like it is consolidating for another breakout.

A chart a day - NOL

I thought i'll introduce a chart of NOL to you today. Why do I like it? Because it has traced a nice round bottom around the $1.00 level and broken up from both the medium and longer term moving averages. The stock is now trending nicely upwards. Support looks strong between $1.35 and $1.40. Near term resistance is $1.50. Global economy looks to be recovering. Japan seems to have rebuilt its manufacturing facilities following the devastating tsunami, US job numbers and economic numbers look promising. Looking at the way the price of NOL is behaving, it looks like shipping volumes are picking up.