Frasers Logistics & Commercial Trust (SGX: BUOU) A potential corrective wave to retest the resistance zone at 1.20-1.28 in the current downtrend as:   

1. The price broke out of a downtrend channel resistance on 28 October after it found support at the zone of 1.04-1.09 confluent with a double bottom of 1.07 swing low made in late October 2020.
2. The Moving Average Convergence Divergence (MACD) technical indicator is displaying initial signs of bullish momentum where it sustained a fresh bullish crossover for 2 consecutive days.
3. The price could reach the resistance level at 1.25 which is confluent with the 50% Fibonacci retracement using the recent swing low of 1.05 and recent swing high of 1.46. From an Elliot wave perspective, the stock has completed a 5 wave downtrend formation and we could see a ABC correction wave form to retest the resistance zone.

*Expected timeline of the trade is 13 weeks from the date of report issuance.

CHART LEGEND

Red box = Resistance zone

Green box = Support zone