Broker: CGS International
Date: July 18, 2024

Overview

OUE Commercial Real Estate Investment Trust (OUE C-REIT) provides real estate investment services and focuses on purchasing and developing commercial properties. It operates primarily in Singapore.

Recent Performance

OUE Commercial REIT recently achieved a significant technical milestone. After a period of consolidation at the beginning of the year, the stock broke out of its previous range, signaling renewed upside momentum. On July 18, 2024, OUE C-REIT reached the target price of S$0.300. This breakout was accompanied by a rise in trading volume, which suggests strong investor interest.

Key Technical Indicators

Several technical indicators point to continued bullish momentum:

1. Price Action: The stock broke out of its range with a strong bullish candle supported by increasing volume.
2. Trend: OUE C-REIT is now forming a pattern of higher highs and higher lows, which is a positive technical signal.
3. Ichimoku Indicators: Prices are trending above all Ichimoku indicators, indicating sustained upward momentum.
4. MACD Indicator: The MACD histogram is positive, and both the MACD and signal lines are rising after a bullish crossover.
5. Stochastic Oscillator: The oscillator continues to rise and has crossed above the 20-line, further supporting the bullish outlook.
6. ROC (Rate of Change): The 23-period ROC has moved above the zero line, signaling positive price momentum.
7. Directional Movement Index (DMI): The DMI shows strong bullish strength, reinforcing the positive trend.
8. Volume: Healthy expansion in volume has been observed, further confirming the upward momentum.

Support and Resistance Levels

• Entry Prices: S$0.300, S$0.280, S$0.260
• Support Levels: S$0.295 (Support 1), S$0.255 (Support 2)
• Resistance Levels: S$0.345 (Resistance 1), S$0.390 (Resistance 2)
• Target Prices: S$0.320, S$0.350, S$0.370, S$0.400
• Stop Loss: S$0.240

Conclusion

OUE C-REIT’s technical breakout marks a potential resumption of bullish momentum after a prolonged period of consolidation. With positive technical indicators, healthy volume expansion, and strong support levels, the stock appears well-positioned for further gains. Investors might consider the listed entry prices and target levels for potential upside.