Which offshore stocks will survive the deluge?

KEPPEL CORP ($5.27) - Breaks down

- Short term stochastics should trigger a temporary rebound

- Resistance appears at $5.50

- Directional movement indicators have taken a negative turn

- Initial support is at $5 and $4.50

SEMBCORP MARINE ($1.335) - Oversold pressures build

- Short term stochastics represent an extreme oversold conditions

- There should be a temporary rebound off $1.31

- Rebound is likely to meet resistance at $1.50 to $1.54 range

MERMAID MARITIME (10.2 cents) - Poised for breakdown

- Prices have been trading within a narrow range

- Prices appear poised for breakdown

- Breakdown would indicate target of 7 cents

SEMBCORP INDUSTRIES ($2.72) - Breaks below support

- Prices are in process of breaking below sideway range

- Breakdown occurred at $2.91

- Decline has some way to go and initial support appears at $2.54

- January low of $2.23 should be able to stop the decline and trigger a rebound

PACC OFFSHORE SERVICES HOLDINGS (31.5 cents) - Falls below support

- Prices have just fallen below support at 34 cents

- Breakdown indicates downside of 27 to 28 cents

- Short term stochastics should bottom and may trigger a temporary rebound with resistance at 33.5 cents

MTQ HOLDINGS (43 cents) - Poised for a breakdown

- Quarterly momentum appears more resilient than the sector

- Prices are at twice tested support level at 43 cents

- Breakdown looks increasingly likely

- If prices break 43 cents, they indicate a target of 26 cents

- Any rebound is likely to be mild with resistance at 45 cents

(Source:  TheEdgeSingapore August 8 2016)

Indicators turn positive for index components

DBS GROUP HOLDINGS ($16.30) - Moving averages turn positive

- Longer term chart looks positive

- Following break above $15.60 and $16, counter has confirmed a break above a major base formation

- Support appears at $16

- Directional movement should support the uptrend

OVERSEA-CHINESE BANKING CORP ($8.98) - Moving averages strengthen

- Prices are testing a resistance area

- A breakout is a matter of time

- Any retreat should be shallow with support at $8.75

- Successful break above $9 indicate a target of $11

UNITED OVERSEAS BANK ($19) - Attempting to strengthen

- Counter has slightly less relative strength than the sector

- Prices are near a resistance area at $19 to $19.17

- Prices may ease towards $18.50

- Successful breakout provides objective of $20.70

SINGAPORE TELECOMMUNICATIONS ($4.23) - Upmove pauses

-  Immediate support is at $4.20

- If prices can hold, they have a better chance of forming a bull flag

- For this to materialise,  prices have to break above $4.32 in the next two session

- A successful break above $4.32 indicates a target of $4.67

KEPPEL CORP ($5.58) - Challenging breakout point

- Prices have been largely trading within a range since May

- Prices are likely to remain entrenched in a narrow range

- The level to note is when it moves above its 200 day moving average

- Breakout would provide a measuring objective of $6.30 initially and $7 subsequently

WILMAR INTERNATIONAL ($3.11) - Moving averages turn negative

- Before the price breakdown, the 50 and 100 day moving averages had already turned negative

- If break below $3.17 level is sustained, a measuring objective of $2.59 is indicated

- Downside would be invalidated if prices regain the $3.17 level

(Source:  TheEdgeSingapore July 25 2016)

Pockets of strength among index components

DBS GROUP HOLDINGS ($15.94) - Challenging resistance

- Prices have cleared a confluence of resistances at $15.60 which should provide support in event of retreat

- Break above $15.60 indicates an eventual target of $18.44 but this is unlikely in near term

- Prices may halt at $16 to $16.06

UNITED OVEREAS BANK ($18.28) - Facing immediate resistance

- Prices are challenging resistance at $18.40 to $18.50 range

- Quarterly momentum is in a downtrend

- Prices are likely to stay within a range

- Support is at $17.91

SINGAPORE EXCHANGE ($7.43) - Testing support

- Resistance appears at $7.70

- Overall there are pockets of weakness

- Support appears at $7.42

- Break below support indicate a downside of $6.70

OVERSEA-CHINESE BANKING CORP ($8.58) - Attempts to strengthen

- Prices have been unable to move above resistance at $8.60 to $8.70

- Prices are likely to stay within sideways range

- Prices need to break above $8.70 to indicate a new upside

- Support is at $8.48

SINGAPORE TELECOMMUNICATIONS ($3.87) - Attempts to gain strength

- Main trend appears to be sideways

- Top end of the trading range is at $3.97

- Short term indicators are likely to support prices

- Once prices approach $3.97 to $4 they could turn down

- Support is at $3.76

(Source:  TheEdgeSingapore June 27 2016)