China Overseas Land & Investment (HK): trend reversal


Company profile: China Overseas Land & Investment Limited, through its subsidiaries, develops and invests in properties, constructs buildings, invests in treasury securities, and infrastructure projects. The Company also provides civil engineering, foundation engineering, and real estate agency and management services.

The breakout below the trend line 2011 comes after elaborate peaking against the 24.80-area. Generally, the longer this peaking/consolidation takes, the more reliable the eventual breakout. In this case we expect a drawn out correction over the next 12- months towards levels as low as ~18.70. Here the pivots of 2013 fall together with various down side Fibonacci extension levels, making it rather reliable as a target zone.

Short-entries are justifiable as long as 23.30 holds as first resistance area.

  • Primary trend: negative
  • Outlook: primary trend reversal
  • Support: 18.70* / 14.58
  • Resistance: 23.30 / 24.08

Weekly chart China Overseas Land & Investment (HK:688)

china overseas bank_23dec2013

8 March 2013

The recent correction has found support around 21.00<>20.90. Basing is expected after which the long-term uptrend should continue towards 25.60 (recent pivots) and the price projections at 27.03 and 31.65. Do not allow for a close below 20.50.

  • Primary trend: positive
  • Outlook: correction in uptrend, buy
  • Support: 21.00 / 20.50 / 19.16
  • Resistance: 25.60 / 27.03* / 31.65*

Weekly chart China Overseas Land & Investment (HK:688)

overseas land_8mar2013