Trend Reversal Risk? Pop Mart Charts a Classic Head and Shoulders Pattern

Binni Ong
10-23

  • $POP MART(09992)$ formed a Head and Shoulders pattern, a classic technical setup that often signals potential trend reversal after a strong rally.

  • The left shoulder and right shoulder are roughly aligned around the HK$280-290 zone, while the head peaked near HK$340.

  • The neckline support sits around HK$230–236, an important level now being tested.

  • A break below the neckline (HK$230) would confirm the pattern and could lead to further downside.

  • Next support at HK$200 which is a round number support.

How to Use DLC for Short-Term Trading

  • Long DLCs (e.g. $Popmart 5xLongSG270706(IAUW.SI)$ ) may be suitable for traders looking to capture short-term rebounds above HK$230.

  • Short DLCs ( $Popmart 5xShortSG270706(ZBTW.SI)$ ) may be used for short-term momentum plays if price confirms breakdown below HK$230.

  • Short-term traders should monitor intraday price action closely due to volatility risk near neckline areas.

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For more information about DLCs, visit https://dlc.socgen.com/en/education/handbook 

Disclaimer: 

This document is not an offer or solicitation to buy or sell, nor financial advice or recommendation for any investment product. This document has been published for general circulation only. 

This advertisement has not been reviewed by the Monetary Authority of Singapore. This post is sponsored by Societe Generale, Singapore Branch. The content of this article does not form part of any offer or invitation to buy or sell any daily leverage certificates (the “DLCs”), and nothing herein should be considered as financial advice or recommendation. The price may rise and fall in value rapidly and holders may lose all of their investment. Any past performance is not indicative of future performance. Investments in DLCs carry significant risks, please see dlc.socgen.com for further information and relevant risks. The DLCs are for specified investment products (SIP) qualified investors only.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • AlexiaTours
    10-23
    AlexiaTours
    A break below HK$230 could be risky; are you prepared for potential volatility if that happens?
  • Astrid Stephen
    10-23
    Astrid Stephen
    09992 neckline test! ZBTW.SI ready if breaks HK$230.
  • Astrid Stephen
    10-23
    Astrid Stephen
    Avoid DLCs till $09992 picks direction.
  • Reg Ford
    10-23
    Reg Ford
    ZBTW.SI ready if it breaks HK$230.
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