After breaking below the 1.40 support last month and not being able to climb back up, we have seen SingPost trading lower and it is now back to the 1.30 key support level that has held for more than 3 years since beginning of 2014.
We are seeing some short cover or bargain hunting as we approach the 1.30 level which is normal.
With 1.30 holding, we may even see a rebound back to retest 1.35 – 1.36 new resistance again.
Has staged a pretty good rebound last year Jan from 1.30 to above 1.60.
However, note that any firm breakdown below 1.30 on a specific price action can see more weakness towards 1.20 and lower. Have a plan for long positions. J
For illustration purpose only