CICT - currently at $2.14 - could be vulnerable to a temporary setback. On Dec 18, a black candle was accompanied by a clear expansion in volume indicating the presence of some short term sellers. Quarterly momentum has also retreated. The retreat is likely to be relatively mild as the 50-, 100- and 200-day moving averages have made simultaneous positive crosses with each other at $1.94. Immediate support appears at $2.09, while resistance appears at $2.25.
Between CapitaLand and CapitaLand Integrated Commercial Trust (CICT), CapitaLand has greater relative strength comparative. Prices have moved above a several times tested resistance area at $3.20 to $3.23, just as the 50- and 200-day moving averages have made a positive cross. This coupled with rising 50- and 100-day moving averages, and volume expansion should provide sufficient impetus for prices to move progressively higher. CapitaLand ended at $3.29 on Dec 18, leaving plenty of upside over a period of a couple of months as the break above $3.20 indicates an eventual upside of $3.90, with the breakout level providing support in the short term.
