DBS Not In a Favourable Situation
|BUY OR BYE
Though this was a short trading week but was an eventful one as we saw Elon Musk indicating of taking Tesla private to Turkish Crisis.
And back to local market (Singapore), this week we too saw a significant technical event occurred on DBS chart. We observed that for the first in 20 months, DBS has fallen out of favour on the SG market.
Using on our proprietary relative strength indicator, DBS's Relative Strength Indicator has traded below zero, under-performing the market.
The most recent two occurrence saw DBS went into a bearish bias after it traded below zero.
Fund managers seeks Alpha to beat their respective benchmarks. Thus, when a stock under-performs the market, it only means either fund managers will be avoiding such stock or are already exiting/shorting the stock.
Either way, we'll don't want to be trading against them.
As a retail/private trader, the RS Indicator helps us trade alongside with smart money.
In this instance, having a bearish bias on DBS, helps us either avoid the stock or take bearish actions even as analysts shouting BUY BUY BUY.