Tuan Sing - UOB Kay Hian initiated a "Buy" recommendation yesterday with a target price of 0.71 representing a upside target of more tan 70%. The report cited the potential of its huge $2.3 billion property portfolio in Spore and Australia bought a fire sales price and it is trading at 61.2%discount to RNAV and 52% of its book value. The fundamental reasons to buy this stock looks compelling and many investors jumped in to buy in the last 2 days as evident in the massive volume traded which was the highest 2 days volume in the last 3 years.
The Price Action, however suggest that this stock could have peaked in the short term and is likely to correct to 0.43 before it could attempt higher prices.
If the 0.43 level is breached the stock could head south towards 0.36 which will present and excellent opportunity for traders to buy for a good rebound.
All posts and charts are for educational and illustration purposes only