The reason I added Catic ShanZhen 0161.HK into JPHK could be less complicated than it looks.
With a long time of consolidation (with horizontal move), corporate investors should have bought a big enough amount of shares and are currently pushing it upwards. After the last surge to around $4, the price kept moving along the uptrend line with low volume. It looks like they have not yet started or at least not yet finished selling their shares. To achieve so, they would have to push the price once again upwards.
$4 would be a reasonable target, but seeing the 3-year chart, it is only an intermediate station for the quick plunge in Q2 and Q3 2008. The resistance power is not that strong. We could aim even high if it breaks 4.
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