STX OSV

STX OSV

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I spotted this yesterday at 1.325 (before it closed at 1.34). Didn't manage to buy as i hesitated too long since i was still expecting to see a STI correction in the coming days. It has a nice bullish divergence between price and the various indicators. The first target for this rebound should be around 140-145. Don't think it will go below 122 since that was the M&A transacted price.

Some of my previous recommendations (such as Noble, Capital Retail China, Sembcorp Marine, Sembcorp Industries) have hit their second targets so you either take profit or remember to put trailing stops to them.

Happy trading.

STI Update

Just when I said STI has turned into a sell for me on New Year's eve, it got a big boost from the "fiscal cliff" or the lack of it and fly up to the sky. hahaha

STI formed a doji today. It is an indication that the bulls and bears are "fighting it out". Watch out for a potential formation of the evening doji star.

My view remained the same that upside is limited with downside potential in January. I will not 'chase' the STI stocks (generally speaking) and the previous correction target remain the same. Let's see how it pans out in the coming days.

Happy trading.