Zijin Mining (2899.HK): Within Bullish Channel
Ming Lam August 10, 2020 2:26 PM
Gold price keeps standing above the key psychological level of $2,000 an ounce showing no signs of fatigue...Zijin Mining is unlikely to reverse its current uptrend...
Zijin Mining Group’s (2899.HK) share price has jumped about 79% since June, boosted by the surge in prices of gold and copper, which accounted for over 70% of the company’s gross profit in 2019.
Gold price keeps standing above the key psychological level of $2,000 an ounce showing no signs of fatigue. Therefore, Zijin Mining is unlikely to reverse its current uptrend in the near future.
On a daily chart, the stock keeps trading within a Bullish Channel.
Source: GAIN Capital, TraingView
Strong upward momentum is evidenced by the relative strength index, which is well directed in the 70s.
Bullish investors should take the recent low at HK$4.54 as the Key Support (Stop-loss) Level.
On its way up, the stock is expected to encounter Resistance at HK$6.00 (around 61.8% extrapolation from HK$4.54) and HK$6.50.
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
GAIN Capital Singapore Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the GAIN Capital group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), GAIN Capital Singapore Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact GAIN Capital Singapore Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither GAIN Capital Singapore Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
GAIN Capital Singapore Pte. Ltd. is not under any obligation to update this report.
Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit cityindex.com.sg for the complete Risk Disclosure Statement.
Cryptocurrencies are not legal tender currency and trading of derivatives on Cryptocurrencies are currently not covered under any regulatory regime in Singapore. Consequently, investors should be aware they do not have protection under the Securities and Futures Act (Cap. 289). Please ensure that you are fully aware of the risks.