Broker: CGS International
Date of Report: July 11, 2025

Jardine Cycle & Carriage Ltd Poised for Bullish Rebound: Technical and Market Outlook

Market Overview: US Dollar Volatility and China’s Economic Reforms

Recent market dynamics have seen a temporary settling of US dollar volatility, but analysts at Goldman Sachs anticipate a return to turbulent trading. Major triggers include policy uncertainty from trade tariffs, Federal Reserve independence concerns, fiscal issues, and diversification away from US assets. A sharp decline in the dollar, exacerbated by President Donald Trump’s tariff threats, has led to speculation over the greenback’s enduring status as a safe-haven currency. While a permanent shift is not forecasted, short-term instability is expected, making the US dollar’s strength less reliable in risk-off periods.

Meanwhile, China faces the looming threat of a deflationary trap, underscoring the urgency for a “new supply-side reform” in its 15th Five-Year Plan. This new reform is expected to focus on:

• Division: Property destocking initiatives
• Subtraction: Capacity reduction in key sectors
• Addition: Increasing government leverage ratios
• Multiplication: Accelerated development in artificial intelligence

Jardine Cycle & Carriage Ltd: Bullish Trend in Early Rebound

Company Overview:
Jardine Cycle & Carriage Limited operates as an investment holding company with a diversified portfolio spanning automotive, consumer finance, utilities and infrastructure, heavy equipment and mining, property, agribusiness, cement, and consumer products. Its operations and investments are concentrated in Southeast Asia.

Technical Buy Call: Key Levels and Trade Parameters

The stock’s technical outlook has shifted decisively bullish, following a successful trade that exceeded the previous target price of US\$24.00. Key technical signals supporting this view include:

• Uptrend Channel: Jardine Cycle & Carriage has formed a series of higher highs and higher lows after breaking above its intermediate downtrend line.
• Ichimoku Indicator: The stock has closed above all Ichimoku indicators, confirming a healthy bullish signal.
• MACD: Both the MACD signal and line have crossed at the bottom with a positive histogram, indicating a confirmed reversal.
• Stochastic Oscillator: Steadily rising, reinforcing bullish momentum and confirming the oversold crossover signal.
• Rate of Change (ROC): The 23-period ROC is positive and rising.
• Directional Movement Index: Steady bullish strength is observed.
• Volume: Healthy expansion in trading volume further confirms the bullish outlook.

Recommendation Framework and Analyst Coverage

CGS International employs a clear recommendation and ratings framework:

• Add: Expected total return exceeds 10% over the next 12 months.
• Hold: Expected return between 0% and +10%.
• Reduce: Expected return below 0% over the next 12 months.

Sector and country ratings are also provided to guide portfolio positioning on a market-cap-weighted basis.

As of June 30, 2025, the report covers 561 companies.

Jurisdictional and Regulatory Disclosures

CGS International provides research and trading services across multiple jurisdictions with adherence to local regulations. Distribution is strictly limited to professional, institutional, or sophisticated investors as defined by each country’s regulatory body. Investors are urged to consider their specific investment objectives and consult with their financial advisers before making any investment decisions.

Key Takeaways for Investors

• Jardine Cycle & Carriage Ltd is in the early stages of a bullish rebound, with multiple technical indicators confirming upward momentum.
• The stock has set well-defined entry, support, stop loss, resistance, and target levels, offering clear guidance for traders and investors.
• Market volatility—especially concerning the US dollar and China’s reform agenda—remains a significant backdrop for Asian equities.
• CGS International maintains robust research coverage and a transparent recommendation framework, with a focus on actionable insights for institutional clients.

Investors and market watchers should closely monitor Jardine Cycle & Carriage Ltd for further bullish developments, while keeping an eye on macroeconomic triggers that could influence broader market sentiment.