Exhaustion After Hitting Previous Highs? [OCBC Bank (O39)]

Published On: 6 May 2024, 9:40 AM | Tan Peng Chien, Dealer

Key Entry Price Pivot(s):
  • $14.38
Recommended Trade:
  • Short at $14.28
  • Stop Loss at $14.47
  • Take Profit at $13.56
Alternative Case:
  • Long at $14.30
  • Stop Loss at $14.18
  • Take Profit at $14.60
  • On the monthly chart, prices have surged beyond the previous high of $14.04, effectively sweeping liquidity from a pivotal level established over the past six years.
  • Upon closer examination of the 30-minute chart, another liquidity sweep is discernible prior to the price retracement
  • Given the occurrence of multiple liquidity sweeps across various timeframes, the likelihood of a price reversal is heightened. Coupled with the impending dividend ex-date scheduled for midweek, anticipations mount for additional sell-offs once traders and investors secure dividend payments.
  • A prudent strategy entails vigilant monitoring of price dynamics, awaiting further confirmation before initiating short positions. Nonetheless, for those less concerned with capturing every market fluctuation, short positions may be initiated at current levels, targeting a decline to $13.56, with a stop-loss order set at $14.40.


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