Trade of the Day
Best World International Ltd (SGX: CGN)
(Current Price: S$1.84) – TECHNICAL BUY
Buy price: S$1.84 Stop loss: S$1.80 Take profit 1: S$2.01
Take profit 2: S$2.14
The price found support upon retest of the downtrend channel support with confluence of a previous resistance turned support retest at S$1.82 on 25th May. Both Moving Average Convergence Divergence (MACD) and Relative Strength Index (RSI) technical indicators are also displaying bullish momentum, where higher lows were formed when price made a lower low into the support.
The price could head to the first resistance level at S$2.01, which is confluent with the recent swing high resistance formed in mid-May.
It could then head to the next resistance level at S$2.14, which was a previous horizontal support in March, now turned resistance following a breakdown.
Expected timeline of the trade is 4-8 weeks from the date of report issuance.
Join our telegram channel on technical analysis for trends, entry and exit prices over Stocks, ETFs, and Indices!Featuring regular TA posts and requests to analyse specific stocks