ChinaMilk take profit

ChinaMilk=$0.53 (Resistance here at SAR...take profit)

Sponsored Links

China Milk Breakout?

ChinaMilk=0.48 (Breakout Greenline....)

China Milk - Bullish tweezers bottom pattern suggests likely near term rebound

China Milk Products Group may see more near-term upside in the days ahead following the double formation of a tweezers bottom and the harami pattern at the intersection of its 2.5-month uptrend line and key resistance- turned support level.

With both the RSI and MFI indicators signaling a rebound at the oversold level and the ROC indicator on the brink of a positive crossover following its recent sharp bullish reversal, these seem to support bargain hunting after the recent steep 2-week correction of 22%.

We expect the rebound to meet an initial resistance at $0.595 (1-year downtrend line and Oct ’08 high), breaking which, the next key resistance is at $0.715 (minor peaks in Jul – Aug ‘08)

Immediate support is meanwhile pegged at $0.445 (2.5-month uptrend line and key resistance-turned-support level), ahead of $0.36 (minor trough in Apr ‘09).

ChinaMilk pending breakout?

ChinaMilk=$0.51 (Bull Flag formation pending breakout?)