Golden Agri-Resources Ltd (Golden Agri) has been appearing on the top volume list daily for many days already, but the high volume was mostly contributed by short selling. It is now in a very oversold territory. That does not mean it will not remain there any longer.

With Golden Agri breaking out 59.5 cents this morning, some signs of bottoming seems to have surfaced, provided it can maintain above the short term support at 54.5 cents.

If 54.5 cents is broken, the immediate support will be at 50 cents, followed by 40 cents.

To ascertain its trend reversal, more confirmation is required in days ahead. In the very short term, 65.5 cents resistance will be one such confirmation.