ST Engineering (S69): Mark Up Phase
Technical Observations:ST Engineering traded in consolidation for the whole March and April, we currently seeing the stock marking up gradually. We place the 1st Target at S$4.00 in view of whole number effect and previous resistance, with 2nd Target at S$4.20.
Recent Geopolitical events may spur governments to increase their defence spending which may boost ST Eng Defence Division, Global e-commerce and SG Smart-City vision may also potentially give its electronics division a lift.
ST Eng will announce its earnings on 12 May, Upside Surprise?
Probable Trade Set-up:
T: S$4.00 / S$4.20
R/R Ratio: 1.25x / 2.92x