Yesterday, I did a writeup on Koufu, where I focused on its historical financial results and dividend payouts, as well as shared some of the catalysts and threats which may impact the business ahead, and whether or not its current share price is considered cheap (or not) based on its current vs. its historical valuations. In case you’ve missed the writeup, you can check it out here.

Today, I’d like to focus on the share price movements of Koufu from a technical analysis perspective. For ease of viewing, all my charts are based on a weekly timeframe.

First, let us take a look at the share price movements of Koufu since its IPO on 18 July 2018:

Koufu's Share Price Movements on a Weekly Timeframe since its Listing
Koufu’s Share Price Movements on a Weekly Timeframe since its Listing

Koufu’s share price saw a series of up and down movements since its listing – where the highest the share price went was S$0.825 in April 2019. The share price climb to around this range in January 2020 before plunging down to its current share price at S$0.560.

Now, let me identify some of the support and resistance lines, along with uptrend/downtrend lines which I’ve spotted, which you can find in the image below:

The Various Support/Resistance, along with Uptrend/Downtrend Lines I've Identified on Koufu's Share Price Movement (Weekly Timeframe)
The Various Support/Resistance, along with Uptrend/Downtrend Lines I’ve Identified on Koufu’s Share Price Movement (Weekly Timeframe)

As you can see from the image above, the most recent weekly candlestick, along with MACD and RSI suggests that the share price may be heading to the support line at S$0.540.

If you’re looking to invest in the company for the long-term, my personal opinion is that, you can consider investing in the company when the share price comes down to the support line at S$0.540.

However, if you’re looking to short-term trade in this one, or you’re looking to buy only when the trend reverses, you may want to wait for the weekly candlestick to break above the red bearish candlestick at S$0.620, and above the resistance line at S$0.630.

That said, the above is my personal opinion. Please do your own due diligence before you make any investment or trading decisions.

Disclaimer: At the time of writing, I am not a shareholder of Koufu Limited.

Launch Event for My First Book: building your REIT-irement portfolio

building your REIT-irement portfolio by Lim Jun Yuan - Official Book Launch on 26 September 2023

After months of hard work, my first book, 'Building Your REIT-irement portfolio' is finally ready! In this easy-to-follow 178-page guide, you'll learn everything you need to know about building a REIT portfolio that can provide for you in your retirement years. You can check out a preview of the book here.

I'm extremely thankful to the team at InvestingNote and ShareInvestor for their help to organise a book launch event for me on Tuesday, 26th September 2023, from 6:00pm to 8:00pm at their office in New Tech Park.

For more details and to RSVP (seats are extremely limited), click on the link below:

Click here for more details on the book launch event and RSVP here...