June 22, 2024

Comfort Delgro: Selling still continuing? Price 2.14. May still see weakness amidst virus epidemic..

Author: Trading Impossible | Joey Choy
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Just about 2 months back, we saw Comfort Delgro breaking the key 2.40 support that it has been holding above for more than 6 months…

In addition, there were also some signs of the downtrend starting to take shape

From the moving averages, we were seeing some weakness, expecially with some bearish crossovers seen..

Buyers were unable to take it above the 2.45 resistance level and sellers just came back to take profit…

Hence, some target were drawn to the downside with target to 2.25 then 2.10 eventually..

See what I mean below…

Sellers seem to be ready to push price lower after each minor consolidation which is not a good sign

A few weeks passed and there were some consolidation above the 2.30 support…

However, trend was still pointing down eventually we saw the 2.30 support gave way too..

This was captured when it happened live as seen below..

Downside target were reiterated towards 2.10 again as mentioned above..

Note that this was before the virus epidemic currently happening..

Targets were mainly due to the charts showing weakness…

Fast forward to today…

Over the past few days we have seen more selling pressure with the virus epidemic escalating..

2.20 temp support has given way last week and seems like it is about to hit our target at 2.10..

Yesterday’s low was at 2.11 before some short covering return..

Transport business is likely to be hit with lesser tourist coming to Singapore and private hire drivers are already feeling the brunt..

On any further bearish price actions below 2.10, targets can be revised lower as seen…

Still in watchlist… cautious long position for now..

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