Genting SP- time for some profit-taking

In April this year, I recommended readers to look at Genting Singapore PLC ('Genting SP') [go here]. Back then, it was known as Genting International PLC, an integrated resorts development specialist, involved in developing, operating and marketing of casinos and integrated resorts in Malaysia, Australia, the Americas, the Philippines and the United Kingdom (“UK”). The Group has casino properties under UK-based Genting Stanley and is currently developing Resorts World at Sentosa, the integrated resort in Sentosa, Singapore.

The reason for my recommendation was Genting SP had "broken above its very strong horizontal resistance at S$0.47-48 as well as its medium-term downtrend line resistance at about S$0.48." As at end of the morning session today, Genting SP closed at S$1.14 (gaining 7 cent from yesterday). From the chart below, we can see that Genting SP is nearing its January 2007 high of S$1.20- a natural resistance for the stock. If it can break above the S$1.20 level, Genting SP's uptrend can continue.


Chart: Genting SP's weekly chart as at Sept 2, 2009 (source: Yahoo Finance)

Despite the above technical comment, I think this is a good level to take some profit on the stock.