ICBC (HKEX: 1398) sell-off since mid-April 2021 has reached its low point and technical has shown signs and indication of a rebound:
1. The smaller falling wedge has been broken after a bullish engulfing candle was spotted breaking the top resistance slope of the falling wedge.
2. To add on, the bullish engulfing candle successfully closed above the 22-day moving average. Indicating early signs of bullish strength.
3. The RSI has been constantly ranging at the oversold level below 40 and furthermore, the RSI has spotted a new bullish divergence.
4. Probability of upside is strengthened as prices has reaches the bottom of the range between HKD$3.90-HKD$5.70