Blue chips promise breakouts

FRASER & NEAVE ($5.68) – Resuming upmove
- Indicators remain strong
- Prices have found support at $5.50
- Current move could turn out to be part of a top formation if price is unable to break above $5.90

KEPPEL CORP ($9.23) – Temporary retreat
- A temporary pullback is under way
- Prices had earlier cleared thrice tested resistance at $8.80
- That indicated a target of $9.90
- Support at $9.00

NEPTUNE ORIENT LINES ($2.13) – At resistance
- Prices are taking the form of an ascending triangle
- Prices are at twice tested resistance at $2.11
- Successful break indicates a target of $2.46
- Support is at $2.02

SINGAPORE AIRLINES ($16.08) – Clear skies
- Prices tested at high of $15.90 in March before retreating
- A breakout is not a done deal
- Support is at $15
- Successful break indicates an upside of $17.50

SINGAPORE TELECOMMUNICATIONS ($3.12) – Always promising
- Prices are testing resistance at $3.13 to $3.15 for the third time
- Momentum is strengthening
- It could be that once again prices may disappoint

UNITED OVERSEAS BANK ($19.70) – Retreats from resistance
- The two other banks  tested resistances and instead of breaking out got bogged down
- Prices have tested $19.80 to $20 level on previous occasions
- Support is at $19.20
- Successful break would indicate a target of $22

(Source: TheEdgeSingapore August 9 2010)