Date of Report: September 17, 2024
Broker Name: CGS International Securities
Overview of Meituan
Meituan (HKG: 3690) operates as a web-based shopping platform for locally sourced consumer products and retail services. The company offers a variety of deals including dining, delivery, entertainment, and other services. Meituan provides its services throughout China.
Stock Performance and Technical Analysis
- Last Price: HK$126.50
- Entry Prices: HK$126.50, HK$108.90, HK$96.00
- Support Levels:
- Support 1: HK$109.20
- Support 2: HK$95.50
- Stop Loss: HK$89.80
- Resistance Levels:
- Resistance 1: HK$129.60
- Resistance 2: HK$163.80
- Target Prices:
- Target 1: HK$140.00
- Target 2: HK$160.20
- Target 3: HK$179.20
- Target 4: HK$200.00
Key Technical Indicators
- Meituan has broken out of a corrective downtrend channel, which resembles a bullish flag, signaling the continuation of an upward trend.
- Ichimoku Indicators: Prices are trending above all Ichimoku indicators, suggesting continued strength.
- MACD Analysis: The MACD histogram is positive, and both the MACD and Signal lines are continuing to rise.
- Stochastic Oscillator: This is also rising, which confirms the bullish momentum.
- Rate of Change (ROC): The 23-period ROC has risen and broken above the zero line, adding strength to the bullish sentiment.
- Directional Movement Index (DMI): This indicator confirms the bullish strength.
- Volume Trend: Trading volume has expanded, indicating a healthy trend for the stock.
Analyst Commentary
According to the report’s technical analysis, Meituan is showing strong bullish momentum. The stock has already surpassed the second target price of HK$124.58 set in a previous report (dated April 23, 2024). The report suggests that the stock will likely continue to rise based on key technical indicators, and analysts are recommending a “Technical Buy” position.
Analyst(s):
CHUA Wei Ren, CMT
Contact: +65 6210 8612
Email: weiren.chua@cgsi.com
Disclaimer:
This report contains general market data and opinions, and does not account for individual investment objectives or financial situations. Readers should consult their own financial advisors before making any investment decisions. The content of the report is based on data believed to be reliable but not guaranteed as to accuracy.
