To The Moon

Yangzijiang Shipbuilding ( $YZJ Shipbldg SGD(BS6.SI)$ ) reported its H1 2026 results on 6 August, delivering record revenue and profit. Revenue rose 36.2% year-on-year to RMB17.5 billion, while net profit climbed 28.4% to RMB5.4 billion. The group also reported a strong orderbook of 256 vessels worth US$22.4 billion, providing revenue visibility through to 2030. The results reinforced the strong fundamental backdrop behind the stock’s subsequent price action.

Daily Chart: Previous 52-Week High Turns Support, Channel Breakout Confirms Momentum

Since the earnings release, YZJ has surged decisively above its previous 52-week high of $4.62, and has spent recent weeks consolidating at or near this level — a sign that the former resistance is now functioning as support.

As of writing today, price has pushed to a fresh all-time high, with trading volume in the early afternoon already exceeding the 10-day average volume. This combination of a new high on above-average volume points to strong underlying momentum.

At the same time, price has broken out of an upsloping channel that had guided the stock higher since March. A channel breakout of this nature is typically read as a continuation signal, reinforcing the bullish structure already in place.

Based on a 62% projection of the channel’s height measured from the breakout point, the implied price target is $5.70. This level would represent the next objective should momentum continue to follow through.

This bullish structure would be invalidated if price closes back below $4.50, which would suggest the breakout has failed and the previous support/resistance zone has given way.

BS6 Yangzijiang Daily Chart

Using Structured Warrants to Trade This Setup

A call warrant gains in value when YZJ rises; a put warrant gains when YZJ falls.

Bullish — Momentum Continuation Toward $5.70

A trader who believes the breakout is genuine and that YZJ can extend toward the $5.70 target, supported by strong volume and record earnings, might consider a call warrant as one way to express that view.

The call warrant on Yangzijiang (BS6) (YangzijiMBeCW270222 (JVVW)) (https://warrants.com.sg/tools/livematrix/JVVW  ) could be one way to express that view.

Bearish — Breakout Failure Below $4.50

A trader who believes the rally is overextended and that a close below $4.50 would invalidate the breakout, potentially triggering a deeper pullback, might consider a put warrant as one way to express that view.

Currently, there is no put warrant on the stock. 

Structured warrants are short-term trading instruments that magnify both gains and losses; their value is affected by the underlying price, volatility, and time to expiry. 

Note: The featured warrant is quoted with tight spreads and high liquidity. It is also known as a trending warrant.

DISCLAIMER

Information found in Binni Ong commentary is not an offer or solicitation to buy or sell, nor financial advice or recommendation for any investment product. She is providing education and training, and is not regulated by the Monetary Authority of Singapore or any financial regulatory body. 

This commentary piece is sponsored by Macquarie Warrants Singapore. The views expressed by Binni Ong do not represent the views of Macquarie Group, nor its affiliates.

This advertisement has not been reviewed by the Monetary Authority of Singapore.

Investment products including warrants are subject to significant investment risks, including the possible loss of the principal amount invested.

Where past performance is referred to, it is not indicative of future performance. Examples quoted in this presentation are for illustration purposes only and do not represent any investment views or strategies. Advice should be sought from a financial adviser regarding the suitability of the investment product before you commit to invest in it.