Date: September 23, 2024
Broker: CGS International Securities Hong Kong Limited
Company Overview
Yue Yuen Industrial (Holdings) Ltd (551) is a Hong Kong-listed company that manufactures and markets athletic, casual, and outdoor footwear through its subsidiaries. The company has been a significant player in the footwear industry, supplying a variety of products globally.
Technical Analysis and Performance
Yue Yuen Industrial Holdings Ltd has recently displayed strong bullish momentum, suggesting a return to an upward trend after a prolonged downtrend. The company’s stock price was last observed at HK$14.10. Below is a detailed technical analysis based on the company’s stock performance as of September 23, 2024:
- Entry Prices: HK$14.10, HK$13.34, and HK$12.00
- Support Levels:
- Support 1: HK$12.46
- Support 2: HK$11.12
- Resistance Levels:
- Resistance 1: HK$15.76
- Resistance 2: HK$17.80
- Target Prices:
- Target 1: HK$15.70
- Target 2: HK$17.20
- Target 3: HK$20.00
- Target 4: HK$23.40
- Stop Loss: HK$10.70
Technical Indicators and Bullish Signals
Yue Yuen Industrial Holdings Ltd has shown various technical signals that support its bullish trend:
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Breakout from 5-Year Downtrend: The stock has been on an uptrend after breaking out from a long-term 5-year downtrend line, signaling a significant recovery in price action.
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Ichimoku Cloud Indicator: The Ichimoku indicator shows three bullish golden crosses, reinforcing the positive sentiment in the market for the stock.
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MACD and Signal Line: Both the MACD and signal line remain solid at the top, with the histogram turning slightly positive, which is a strong sign of bullish momentum.
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Stochastic Oscillator: The stochastic oscillator has shown an oversold crossover, rising above the 20-line. Additionally, a bullish divergence has been spotted, indicating potential upward movement.
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23-Period ROC: The 23-period rate of change (ROC) has risen above the zero line, adding to the bullish sentiment.
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Directional Movement Index (DMI): The DMI confirms the bullish strength in the stock, further indicating potential for upward movement.
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Volume Surge: Trading volume has exceeded the 20-period average for three consecutive days, pointing to strong buying interest and bullish pressure.
Conclusion
With the combination of strong technical indicators and increasing market interest, Yue Yuen Industrial Holdings Ltd appears poised for significant upward momentum. Investors may look to key price points and technical indicators to assess their entry and exit strategies.
