Credit Bureau Asia - 28 Feb 2025

Stock Analysis: Credit Bureau Asia (SGX: TCU) - 1D Timeframe

1. Trend Analysis:

• Overall Trend: The stock is in a clear uptrend since October 2024, as seen from the series of higher highs and higher lows.
• Recent Highs & Lows:
  • Higher highs: 1.19 → 1.24 → 1.25 → 1.28
  • Higher lows: 0.86 → 0.89 → 1.16
• Trend Weakness:
  • The recent upward momentum has slowed near 1.25 - 1.28 with smaller bullish bars and some overlapping candles, suggesting consolidation or distribution.
  • A dip to 1.16 was met with buying pressure, but a lower high compared to 1.28 could signal weakening bullish strength.

2. Key Price Action Signals:

• Strong Trend Bars:
  • The breakout in October 2024 from 0.86 to 1.19 had large green candles with strong follow-through, confirming bullish momentum.
  • Recent candles are smaller and more mixed, showing potential hesitation.
• Reversal Signals:
  • A bearish rejection occurred at 1.28, pushing the price back toward 1.22.
  • If buyers fail to push above 1.25, a potential double top formation could develop.
• Inside Bars & Consolidation:
  • Tight price movement between 1.21 - 1.25 suggests indecision or range-bound action before the next breakout or reversal.
• Dojis & Market Sentiment:
  • The presence of doji candles near 1.25 suggests indecision among traders.

3. Support & Resistance Levels:

• Major Resistance:
  • 1.28 (Recent swing high, potential breakout point)
  • 1.25 (Current rejection zone)
• Major Support:
  • 1.16 (Recent higher low, must hold to maintain uptrend)
  • 1.10 - 1.12 (Psychological level and previous price reaction zone)

4. Breakout & Pullback Analysis:

• Breakout Strength:
  • The October 2024 breakout was strong, supported by high volume.
  • Recent breakouts above 1.24 lacked strong follow-through, indicating possible exhaustion.
• Pullback Behavior:
  • A healthy pullback to 1.16 found buyers, confirming strong support.
  • If 1.22 fails, another test of 1.16 is likely.

5. Market Context & Trading Bias:

• Current Market Phase: The stock is in an uptrend but showing consolidation near highs.
• Potential Trend Change Signals:
  • A break below 1.16 could trigger deeper corrections.
  • A breakout above 1.25 - 1.28 would signal continuation of the uptrend.
• Trader Psychology:
  • Bullish bias remains, but caution is needed as the price approaches resistance zones.
  • Breakout traders will watch 1.25 - 1.28 for confirmation.

Final Thoughts:

• Bullish Case: Break and hold above 1.25 - 1.28 = trend continuation.
• Bearish Case: Failure to hold 1.22 - 1.16 = possible trend reversal.
• Neutral Stance: Price is consolidating, so a breakout confirmation is needed.

📌 Next Steps: Watch 1.25 - 1.28 for breakout confirmation or 1.16 for breakdown risk.

Disclaimer:Please note that this analysis is for educational purposes only and should not be taken as investment advice. Trading involves significant risk, and you should consult with a financial advisor before making any decisions.

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