Biosensors International Group

In Jul 2011’s article, I wrote about Biosensors International Group (Biosensors): “…Biosensors has been on an uptrend move since 2009, and we can see this from the uptrend channel . The 20, 40 and 100 week Moving Averages (MA) are also sloping up. Recently, it made a high at around $1.40 before pulling back to about $1.20 which was also the previous resistance. One may consider to buy on dips especially when the Commodity Channel Index (CCI)(5) dives to the oversold region like the previous pullback…” Now that we are in Nov 2011, we can see that when the CCI goes into the oversold (-100) region, it presents a good opportunity for one to buy on dips. Now that the resistance of $1.40 is broken, we may see it heading towards the $1.50-$1.55 region. This is based on the fibonacci projection seen from the chart above.

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Weekly Chart of Biosensors

Hongkong Land Holdings
Hongkong Land Holdings (HK Land) was also mentioned in July’s article, now that we are in Nov 2011, we can see that the price broke the trend line and fell below support of $6.50 and $5.40. It finally rebounded at $4.40. Looking at the current price action, my view is that we will continue to see a small rebound, and the resistance is around $6.00. This is where the fibonacci retracement of 50% is at. I have also included the CCI (20) to better see the longer term overbought level. When the CCI (20) is near to zero, we may see the price near $6.00. One may consider to sell on strength, when it reaches $6.00. The stock may go on a sideway range between $6.00 and $4.50 for the following few months. In the event that it breaks above $6.50 (lower probability scenario), my view is that it may not be backed by enough power to make a new high ($7.50) in this leg.

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Weekly Chart of HK Land US$

SembCorp Industries
SembCorp Industries (SembCorp) has rebounded quickly from its $3.30 support. Looking at the recent price action, this is a very bullish reversal. However, it has currently hit a minor resistance $4.46, which may pull it back to a lower price of around $4.00. However, in the longer term, because of the high momentum from the previous few candlesticks, we may see it reaching its next resistance at $4.70 or even $5.20. One could consider buying on dips on the daily chart when the CCI is in the oversold region. It is also vital to look for a reversal candlestick to go above its prior high to trigger a buy signal.

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Weekly Chart on SembCorp