Base building: PCCW (0008.hk) and Wilmar (F34.si)
PCCW is a dividend cow run by Richard Li. Based on the dividend yield, business model and price action, it qualifies as a slightly more defensive stock that could be resilient to a downturn. Note that resilient does not mean price will not fall.
- Price sideways range since last 3 years.
- Hasn’t printed a new-52-week low in 5 years so qualifies as trending up.
- Long extended trend line going back to 2010 acting as current support.
- Although quarter is not over year, it is at moment best price in last 6 quarters including current one.
Wilmar was last discussed in this story ‘Wilmar 6-year support: what do you make of this pattern?‘
On a 3M chart, we can see price performance Q1 and this quarter doing well and responding to that 6-year support. Should energy and commodities in general do well this year, there may be some movement in the same direction.
Director, TerraSeeds Market Technician Pte Ltd. Trader, investor. @sohtionghum was picked ‘Top 70 Forex Twitter in 2015’. Operates multiple strategies.
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