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China Minzhong: Will It Be A Shorting Opportunity On Rebound?
Trend Spotting | 22 April 2013
By: Robin Han
Articles (102) Profile

China Minzhong Food Corporation has been on a downtrend since early March. When the Straits Times Index was trading sideways, China Minzhong has not been able to hold in consideration but started making new lows consecutively, showing a sign of weakness.

We can see that the moving averages crossed downwards and the MACD histogram also indicated a bearish signal suggesting that the downtrend is likely to continue. One may consider to short China Minzhong on strength during rebound. A 38.3 percent Fobonacci retracement will be a relatively safe entry for short. China Minzhong had just released its annual report on 14 February. The next report is likely to be released in mid-May and will not affect short term trading for next one to two weeks.

Daily Chart of China Minzhong

Robin Han is a Ph.D in Department of Chemical and Biomolecular Engineering and has got a solid foundation in the financial markets.

Please click here for more information about this author.

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