CFD Trading – First Resources & AEM

First Resources Stock Code EB5.SGX


Price moved and closed below the cloud yesterday, triggering a possible sell signal. Both Conversion and Base lines had a bearish crossover earlier on, confirming the bearish trend. Lagging Span is below price of 26 periods ago but is currently also inside the cloud. Just before price dropped below the cloud, a price rally was halted by the Base line while inside the cloud. The Base line, together with the price high of at $1.79, is likely to form a strong resistance zone at $1.78-1.79. The thick cloud is also likely to provide strong resistance. MACD is still bearish and the faster line had reached the zero line and could be turning down. If it turns lower, there could be a bearish MACD crossover signal as well. Together, there are many bearish signals warning of a bearish trend ahead.

$1.730                Short Sell
$$1.58                Price Target
$$1.80                Risk Management Stop
3 weeks              Trade Duration

AEM Stock Code AWX.SGX

Price broke out of an Ichimoku V structure above $2.05 and the V price projection gives this move a price target of $2.29. If price were to break above $2.22, out of another bigger Ichimoku V structure, the price target is at $2.63. Although Conversion and Bases line have yet to have a bullish crossover, Conversion line is moving closer to Base line and there should be a bullish crossover in the next couple of days if price continues to move higher. MACD has yet to turn bullish but the slow line is now very close to the zero line and a change to a MACD bullish trend should be close at hand. MACD’s faster line has crossed over the slower line, giving us a bullish signal as well. MACD is also moving up and there was an earlier bullish divergence warning of a possible price bottom.

$2.12                 Buy
$2.29                 Price Target
$1.98                 Risk Management Stop
3 weeks            Trade Duration

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