Geely Auto Expecting Further Upside
Geely Auto (175:HK)
Price marked down since May 19. Today, we saw price broke above its mid term downtrend trend line which gave expectations that there is strength in the Mark Up.
Bullish divergence observed in MACD and FFI, provided technical evidence that the mark down is weakening.
We expect Geely to trade towards first resistance at HK$12.75 with next target at HK$14.10.
Geely Auto released its quarterly earnings report on 21 Aug. Company also has exposure in car makers Volvo and Daimler.