OCBC Divergence

I think I have started my blogs with " its been a while..." for quite a few times now, but it has ben a while.

I was really busy with my work, with a huge organization with international link up, it became very political. Anyway, its about charts for this blog and nothing else.

Sorry to say that I am not bringing good news to re-start my blog. I just subscribed to reuters data link from Metastock. Quite expensive but this time I have Asian counters.

One of the first look are the banks, and I checked on OCBC. It is not looking good.

Fig 1 OCBC monthly chart

The chart above is the monthly chart, the reason I chose monthly is because there is a show of divergence on the weekly chart (below). On the monthly chart, already the second peak @ 2015 is lower than that of first (2013). Further more, the RSI and Stochastic are turning.

Fig 2 OCBC weekly chart

On a weekly basis the divergence is more obvious. As the chart continue to rise, the Stochastic ad RSI already descending. I believe it is creating the 2nd peak of a double top formation. If this is true, minimum objective is SGD6.60. The neck line support at this moment is SGD8.78.

The trend line on the chart is quite prudent as it has been tested a few times. It started from 14th March 2009. So the breaking of this trendline is significant.