Technical buy

Singpost Ltd – Daily timeframe 

Current Sentiment: Bullish

Support 1: 1.230                   Resistance 1: 1.280

Support 2: 1.220                   Resistance 2: 1.375

Price has been falling sharply since November 2016 as it fell to a new 52 weeks low of 1.230 in June 2017. Since then, there was another attempt to search for a new 52 weeks low in August 2017 but the 1.230 support area managed to hold up. A consolidation happened thereafter between the 1.280 range high and 1.230 range low.

A near-term bottom might be forming here as the 1.230 area happened to be a critical support area back in June and August 2013 where the prior uptrend was re-established. Price is still currently trapped under the 60 day moving average and 1.280 range high, but some early signs of bullish momentum are surfacing shown by the increasing volume bullish bar on 10/10/17.

Watch for price to close above the 1.280 range high next for the double bottom formation off the 1.230 range low to be established. The 1.375 resistance area should be the next target after the bullish break out occurs.