looking for bottom buy on MKD for long term equity holdMolecular Data has plenty of insider holdings, as well as institutional, signifying continued faith in the companies future prospects. The institutional shares at ~16% could pose a selling hazard eventually, as MKD doesn't have history of growth, if the company fails to deliver upon expectations. At the same time, such a large number shows obvious interest for a company with such a small market cap. So what appears as a double-edged sword, feels more purely beneficial to me. Nullifying further risk, the institutions hold less than either the public or the insiders respectively- at 18% and 21%. There is not enough data to see recent insider selling and buying, however, Dongliang Chang (Top Key Executive) appears to hold a whopping 13% of shares outstanding. Notably, 57% of the company's stock is held by just 5 entities.
Analyst predict 27% growth for the company over the next 1-3 years, but MKD earnings have supposedly been declining 20% a year since listing. Shares have also been diluted by 20% this past year, according to my research.
So back we are again to a double-edged sword. MKD does have a PT of $9, listed at $6 in Dec. '19, and is currently trading ~.82c a share.
One thing that is certain- in this market there are limitless amounts of overvalued, poorly structured companies' shares available for purchase. And with most all of them getting positive Price Action in this recent bull market, MKD has not received the same amount of attention and has plenty of room to rise.
As a small account trader, i own just 50 shares @.85c. This is NOT a recommendation to trade MKD in any manner whatsoever.
Equity
Breakout in Stocks??Stocks are finding resistance at 4188, exactly as we had mentioned. We appear to be seeing a sideways consolidation pattern as they potentially gear up for a breakout later. Watch the open, if we do not see momentum, the S&P will reject 4188 like it did last week. It will likely test 4068 if that is the case. we could be seeing a bull wedge forming suggesting a breakout might be near. The next target after we break this range would be 4214. Then highs at 4225 are in sight.
S&P500 still latently bullish...Reviewing the S&P500 futures ES1! weekly chart...
The candlesticks are suggesting some bullish upside to surprise as the tails are at the bottom, when prices are at the top/ATH. The tails keep the index bouyant above the support region (yellow rectangle). This is in contrast to the expectation for a retracement, and instead may extend higher. The volumes are still strong and healthy.
However, the RPM and MACD are conflicting, with the short term RPM crossing up in a downward spiral, and the MACD crossing down.
Looking at the Top 8 traders and Non-commercial net position, there are less bearishness in the recent weeks.
My take is a bullish bias. :)
Stocks Facing ResistanceStocks have returned to 4178, exactly the level to which we alerted you yesterday. This and 4188 will provide resistance and the S&P is likely to range for a bit in a sideways correction after last month's rally. The range appears to be bounded from above by the levels just mentioned, and from below by 4068. Watch for it to form a consolidation pattern like a bull wedge before attempting another breakout, which would take us back to 4214, or if we are feeling ambitious, to highs at 4245. The Kovach OBV is picking up strength, but we will see at open if this is enough to break current levels. If momentum does not come through at the open, or its paltry, we are highly likely to reject those upper levels and retrace to 4144 at least. This would make a great short trade.
Stocks Struggle for SupportStocks found support at 4068. The S&P made an attempt at a breakout but this was quickly thwarted by resistance at 4122. It looks like we finally found some stability around current levels and may be ranging or consolidating as we gear up for another attempt at a breakout. There is still a lot of down side risk, and the Kovach OBV is still pretty bearish. Another tumble could easily take us to 4009, which is the last level of support in the 4000 handle. If we can muster some momentum we will next find resistance at 4178 and 4188.
Stocks Struggling To Break OutStocks found support at 4144, as we anticipated they would. They are currently testing 4178 and 4188, perhaps in the process of forming a bull wedge pattern before potentially breaking out to higher levels. Momentum at open will be critical to achieve higher levels. The Kovach OBV is still struggling to recover from the massive selloff, suggesting that we aren't seeing enough momentum just yet, at least with respect to that. There is a vacuum zone above our current levels to 4214. If we break out, this will be the next target. If not, there will be support at 4122.
Stocks Pare Back LossesStocks have recovered much of their losses from the selloff last week. We found support at 4040, over 200 points below highs. The S&P has retraced back to what appears to be a POC at 4188. We appear to be ranging just under this, and will find support from 4144. The Kovach OBV is gradually drifting up but the momentum here is paltry with respect to the selloff. It will take a great deal of momentum to bring us back to highs at 4245. A further selloff could take us back to lows at 4144.
Keppel Corp BN4 [1-3 weeks view]This is an analysis for a client.
Technical indicators showing room for further bearish momentum
Bounce before chance of a further drop.
Please do your own due diligence.
Losses can happen so please understand your risks and investment objectives first.
Stocks Pare LossesStocks have rebounded from lows at 4040 or so, retracing about half of the massive selloff from earlier this week. We are currently testing resistance at 4144. The Kovach OBV is still pretty flat which suggests that this buy back was paltry with respect to the momentum of the selloff. Therefore, we are less likely to break current levels unless we have a significant wave of momentum come through at open, which could take us back to 4178 or 4188. Another selloff could take us back through the vacuum zone to 4073.
Stocks Continue to Dump!!The S&P has tumbled further to lower levels. We have broken a key level at 4073, and is currently in the middle of a vacuum zone that was created by the huge rally in stocks in April. We do appear to be finding some support at 4045, as suggested by the green triangle in the KRI. If so, this will constitute a new technical level. The next level of support is 4009, which is quite further. The Kovach OBV is extremely bearish, and the Kovach Chande has also dipped, suggesting we are in oversold territory and a short position might be FOMO at this point. However, it may not be a good time right now for a long position either, as we could easily test 4009.
Stocks Find Support!!Stocks have sold off for two days in a row. However we appear to have a double bottom at 4122. This was a significant technical level to which we alerted you many times, so hopefully you were prepared. This level might be a great point to add to a long position, and the risk management is pretty clear. Below 4122, we have a vacuum zone to 4073, so it would be advisable to keep a narrow stop loss. From above, 4178 and 4188 will provide resistance. We have a little bit to go before highs at 4245, so it is unrealistic to expect to see this level again today.
US100 - Overnight Supply - Sell Limits HitHaving seen the price action take the buy limit orders placed in the overnight session, it was good to see the sell limit orders taken in the US session.
Would have been a good trade to catch.
The TP 1 has a 66% chance of hitting after the Initial Balance and that could be the turning point ahead of tomorrow's US inflation data.
TP 2 had a 33% chance of being hit as seen in yesterday's trades.
Stocks Take a Nosedive!!!We warned you that stocks were at highs yesterday, and would take significant momentum to push higher. Indeed, stocks took nose dive and are finding support just above our technical level of 4144 after slicing through several technical levels. We are likely to see the S&P range at current levels and maintain 4144 to 4178. Further retracement could take us back to 4122. The Kovach OBV has dipped substantially, registering the selloff. We have several technical levels to in our way before we can consider highs again, including 4178, 4188, 4214 and 4228.
Meituan (3690 HK) [1-3 weeks view]This is an analysis for a client.
Price is reacting at a key monthly support.
Stochastic is on support where price bounced in the past as well.
Please do your own due diligence.
Losses can happen so please understand your risks and investment objectives first.
JSE All Share Index. Inverted head and shoulders breakThe JSE All Share Index today broke a two month old inverted head and shoulders pattern. Upside of 6% to 72700 is possible on the back of this pattern. This target will without a doubt be driven by escalating resource prices. Keep an eye on a break back below the 68000 level for a possible stop loss.
$JSETRU Truworths Bullish looking flagTruworths has been consolidating in a bullish looking flag pattern since February. A break of the 5100 level could open 5800 & 6200 targets.
New Highs for Stocks!!Stocks have made new highs again in the overnight session, finally meeting resistance at 4245, which we have identified as a new technical level. We will see how they react toward today's open. If we see more momentum coming through we could see new highs again, however if not, we could see ranging or a retracement. It is likely that the S&P will feel out the current price territory between 4214 and 4245 before breaking out higher. Our next profit target is 4272. A significant retracement could take us back to 4188. The Kovach OBV has been lagging lately, but has picked up registering this rally. It appears to be rounding off however, which suggests we are due for ranging or a retracement.
US dollar index facing key support line!The DXY has broken down from of a bearish ascending wedge. Looking to test the .618 Fib retracement level. If we break below this, the next support level at the .786 Fib level at about $81.5.
If this happens, Equities will likely remain in an uptrend, particularly commodities. Gold is normally in this category, but due to central bank manipulation I would say it is in its own category (silver also). Real rates are key to watch to determine which way gold is heading. At the moment, Real rates are negative. Should we see higher CPI (inflation) prints and nominal rates stay around current levels, real rates will continue to head lower.
Not investment advice* Do your own research ! Happy trading
Stocks Poised to Breakout!!Stocks have broken higher, toward the upper bound of their range at 4214. We see increasing proclivity toward these higher levels suggesting that we are gearing up for a breakout soon. The Kovach OBV however is pretty flat, and seems unfazed by the move, so watch for resistance at highs. We will have support at 4188, 4178, and 4172. Our next price target is 4228.
$JSEKIO Kumba Iron Ore. Inverted head and shouldersKumba has formed what looks like an inverted head and shoulders pattern. Wait for a daily close above 69500.
Targets for this pattern would be 75000 and 80000.
$JSEHAR Harmony. Looking for some upsideHarmony broke a multi month downward channel in March and has since then been forming what looks like an inverted head and shoulders.
Watch for a break of the 7185 neckline for targets of 8000 and 8900 to open up.
The break will happen on the back of a rather bullish looking Gold Futures chart.
Wait for the break
