Singtel chart

Singtel has been in a trading range between $3.60 and $4 since late 2007. We are into the 6^th month of this range and currently it is trading attractively close to the support level. It reported strong Q408 earnings but is cautious on the outlook amidst global economic uncertainties. The risk reward ratio favors a trade to the long side as there is no immediate risk for the price to plunge to the downside. It is interesting for the investor to note that even with the stock market was under siege by the bears in 2008, Singtel remained resilient. More interestingly, there seems to be higher volume of shares traded whenever the price hovers around $3.60s as seen in early 2008.