Sunday, March 7, 2010

Genting Bhd

US market had a good performance on Friday with the Dow Industrial Average moving up 122 points to end the week at 10566. Volume on Friday was far from impressive showing a lack of participation among the traders.

Now let’s look at one interesting counter, GENTING BHD.


The technical picture was pretty bleak in the beginning of the week. The counter broke through it’s 200 day moving average and showed no signs of rebounding. However, the counter sprang into life on Friday and the counter is now testing it’s 200 day moving average once more.

The MACD indicator made a bullish crossover and is a good sign for the bulls in the short term.

The RSI indicator is not at oversold levels yet, suggesting that the up move still has some legs left.

However the –DI is still above the +DI with the ADX turning down. This suggests a slowing down of the down trend.

Given the current market conditions, I would be a seller if the counter managed to get to RM 7.00.

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