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Tuesday, March 22, 2016

Genting: Time To Take Some Profit

When I highlighted about the positive technical signs in Genting, I did not expect the share price to power-up in the manner it did over the past 4 weeks. Genting rose from RM8.17 to RM9.50 yesterday while its warrant (Genting-WA) rose from RM1.09 to RM2.07 in the same period.

From Chart 1 below, we can see that Genting is still in a downward channel (ABCD), with resistance at RM9.70. Genting-WA, which broke above its horizontal resistance at RM2.00 yesterday, may encounter its downtrend line, SS at RM2.25 soon.


Chart 1: Genting's monthly chart as at Mar 22, 2016_9.05am  (Source: ShareInvestor)


Chart 2: Genting-WA's weekly chart as at Mar 22, 2016_9.05am  (Source: ShareInvestor)

Given the sharp rally in the stock & its warrant, I believe it is a good time to take some profit. The good level to do so would be near the downtrend line for Genting at RM9.60-9.70 and for Genting-WA at RM2.15-2.25.

Note:
In addition to the disclaimer in the preamble to my blog, I hereby confirm that I do not have any relevant interest in, or any interest in the acquisition or disposal of, Genting & Genting-WA.

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