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U96 Sembcorp Ind price action on HABBSTS trading system

Heikin Ashi Bollinger Band Stock Trading System

HABBSTS or Heikin Ashi Bollinger Band Stock Trading System uses a 3 -indicator combo on the weekly time frame. It consists of:

  1. 13-week Bollinger Bands
  2. Heikin Ashi Candles
  3. 3-week exponential moving average displaced/offset by 2

This is a trend following trading system although it is also superb for visualising major turning points. Not meant for short term speculation, it is a mid to long term trading/semi-investing method.

This system was explained in great detail in this post ‘Testing: Weekly Heikin-Ashi-Bollinger Stock Trading System‘.

 

Sembcorp Industries (U96.SI) printed with HABBSTS setup

We may or may not be looking at a major turning point depending on the following setup to appear:

  • Heikin Ashi closes in red by end of this week.
  • Dotted trend line support below is broken.
  • Current /\/\/\ pattern breaks neck line, confirms triple top reversal pattern.
Sembcorp industry weekly chart price action on HABBSTS trading system

Sembcorp industry weekly chart price action on HABBSTS trading system

Successful application of this trading system depends on:

  1. Whether one believes in the Heikin Ashi colours or not? (Warning: This is weekly chart. Until a week is over, Heikin Ashi colours can re-paint intra-week if day to day price fluctuations are drastic.)
  2. Whether one can stay on a trend (stay with a colour) until the end.
  3. Whether one is unfortunate enough to encounter the occasional pocket of volatility where candle colours change nearly every week.

 

Loss leader over 3 years

Despite strong gains in Q4 ’16 and Q1 ’17, Sembcorp Ind. is 3-year loss leader among 30 constituents in the Strait Times Index. This is based on 07 August 2017 data captured from SGInvestors.io. One-up the table is fellow Oil and Gas player Keppel Corp.

STI 3-year loss leaders

STI 3-year loss leaders; screencap 07 August 2017 | Source: SGinvestors.io

Director, TerraSeeds Market Technician Pte Ltd. Trader, investor. @sohtionghum was picked ‘Top 70 Forex Twitter in 2015’. Operates multiple strategies.

“Dear reader, I do not have a financial license to give advice. I do not know you the reader. Your financial objective and risk tolerance may be different from mine. I am not responsible for any consequence of your action.

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