I'm Brandon, a senior stockbroker at a local securities firm and also a professional trainer with Singapore Exchange (SGX) Academy. Holder of Chartered Market Technician (CMT) and Certified Financial Technician (CFTe) with over 10 years experience in the financial industry.

This blog aims to share how private traders can forecast price and trade in line with the market and smart money by applying Wyckoff principles and simple technical analysis techniques.

Sunday, 14 May 2017

Food Empire

Food Empire (F03): Mark Up
Technical Observations:
Stock was in Re-accumulation phase since earlier 2017 this year. Stock broke out (Line change) from its S$0.64 resistance with strong volume. This provided traders with good evidence that the stock is entering into the Mark Up phase. Trend/Momentum indicator also supported the observation with a MACD Bullish Crossover, signaling change in momentum to Bullish mode.

The Line change was initiated by a positive earnings results, reporting that the group's change in business model proofs to be a success. Its upstream business (plants in India and facilities in Malaysia) are seeing growth momentum.

The group sees further organic growth with further expansions via M&A in the pipeline for both its upstream and downstream markets.

Probable Trade Set-up:
E: S$0.67
S: S$0.605
T: S$0.75 / S$0.85
R/R Ratio: 1.23x / 2.77x