CapitaLand is also at or near a decade high. Investors in CapitaLand may just hang on to their shares till the split into CapitaLand Investment Management and the privatised development business materialises, EGM permitting.
What are investors and traders likely to do as CapitaLand hovers around a one-year high and City Developments (CDL) is at a one-year low? For some market players, CapitaLand’s gains have offset the pains felt by CDL’s decline.
For others, CDL’s decline is an opportunity. “CapitaLand is too slow. For today, the drop in CDL is too big,” a market punter says, referring to an 11-cent decline in CDL’s share price, coming after a 30- cent decline in five trading sessions. Moreover, CDL fell below the $7 psychological bar. Whether this is transitory or not, traders looking for an opportunity may want to “catch” CDL as it falls.
