Popmart Triangle Setup + Strong LABUBU Demand: Where is it heading?

Binni Ong
08-04

Pop Mart (HKEX: $POP MART(09992)$ ) Chart Analysis

Chairman Wang Ning recently addressed speculation that Pop Mart engages in hunger marketing, clarifying that the company is focused on expanding supply rather than restricting it.

He highlighted that Pop Mart’s popular IP LABUBU is now selling about 10 million dolls per month, and efforts are underway to improve supply chain efficiency and ramp up production capacity to meet growing demand. (Source: https://www.aastocks.com/en/stocks/news/aafn-con/NOW.1455660/popular-news/AAFN)

Despite the news, Pop Mart’s share price has been consolidating into a triangle pattern after a strong rally earlier in the year.

The key levels to watch are resistance at HKD 262 and support at HKD 235. A sustained move beyond either level may define the next short-term direction.

Current Candle Behavior

Recent candlesticks show a bullish bias:

  • Long lower shadows suggest buying interest when price dips.

  • Candle bodies are gradually shifting higher, showing demand near support.

  • This indicates buyers are becoming active ahead of a potential test of resistance.

Using Structured Warrants for Short-Term Trading

Call warrants such as PopMart MB eCW251104 (XY5W) $PopMart MB eCW251104(XY5W.SI)$ (https://warrants.com.sg/tools/livematrix/XY5W) may be considered to express a bullish view if price holds above HKD 235 or breaks above HKD 262.

Put warrants such as PopMart MB ePW251104 (KBNW) $PopMart MB ePW251104(KBNW.SI)$ (https://warrants.com.sg/tools/livematrix/KBNW)  may be used to express a bearish view if price falls below HKD 235 support.

Note: The featured call and put warrants are warrants quoted on tight spreads and high liquidity. They are also known as trending warrants.

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.

Pop Mart Defies the Falling Trend & Rebounds! Eyeing HK$300?
JPMorgan sharply cut its target price for Pop Mart from HK$400 to HK$300. Then the stock dips till $252 and rebounded yesterday despite HK market decline? 1. Do you think Pop Mart can maintain investor excitement without near-term major catalysts? 2. Will Labubu & Friends and interactive toys meaningfully expand Pop Mart’s IP value? 3. At what price level would you consider Pop Mart a buy?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • ElsieDewey
    08-05
    ElsieDewey
    Sounds promising! Keep an eye on those key levels; a breakout could lead to exciting gains ahead.
  • Reg Ford
    08-05
    Reg Ford
    Pop Mart ramping production! Wang’s clarity eases fears,bullish here!
  • Athena Spenser
    08-05
    Athena Spenser
    LABUBU selling 10M/month! Supply up, hunger marketing myth busted,buying!
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