Hong Leong Asia – interesting setup
Hong Leong Asia which is the trade & Industry arm of Singapore conglomerate Hong Leong Group, has a good move in January last month, having moved from around 0.7 to 0.99 before pulling back and consolidate around the 0.87 support region.
It has bounced off the 0.87 support region the past 3 days with increasing volume so it will be interesting to watch if the upward momentum can continue and we will be keeping an eye on it . There are 2 possible ways we may look for entry on it :
- Wait for pullback to the 0.87-0.9 support region again before considering an entry ( buying at support) , stop loss for such case will be around 0.865
- Or it could break above 0.99 the recent high and we might consider an entry at 0.995. ( Buying at breakout)
If it manage to break above the 0.99 recent high , the next upside resistance may be around 1.04