After observing Capitaland for the past several sessions, today exudes a breakdown of the trading range. This trading range affirms my conclusion of a distribution phase where the stocks are transferred from the hands of the strong holders to the weak holders. It reverberates lower prices to come. Observe the beautiful trend channel that was drawn, the overall long term trend is still on the downside. The short term support is at 3.24, however i believe this correction will break through the previous low at 3.08 because of the 19 days worth of distribution from 4/4 to 29/4 2011. To trade Capitaland for the moment, one should look to sell into strength and NOT blindly sell into weakness!
Ronald K
