14 Oct 2021
OCBC Bank (SGX: O39) corrective downside is coming to an end after it managed to stay above support zone 2 at $11.03-$11.24. Technical has also indicated that bullish upside will return:
- The downside corrective channel is a larger bullish flag in formation, which is a bullish continuation pattern.
- The triple bottom formation is confirmed after price break above the neckline resistance zone at $11.70-$11.79 and the bullish divergence is an added confirmation.
- Prices break above the falling wedge within the channel, confirming the bullish price action.
- Wednesday’s strong bullish candle gaps up above the Tenkan and Kijun-Sen bullish crossover.
*Expected timeline of the trade is 5 weeks from the date of report issuance.
Ichimoku Kinko Hyo
Red dotted line = 26 periods Kijun-Sen
Blue dotted line = 9 Periods Tenkan-Sen
Green Line B= 52 periods Senkou Span B
Pink Line A = 26 periods Senkou Span A
Blackline = 26 periods Chikou Span. Lagging line