Leju Holdings Ltd (NYSE: LEJU)

Leju Holdings Limited, through its subsidiaries, provides online-to-offline (O2O) real estate services in the People’s Republic of China. The company offers e-commerce services that comprise selling discount coupons and facilitating online property viewing, physical property visits, and pre-sale customer support for new residential properties and home furnishing sales through jiaju.com and leju.com. It also sells advertising on sina.com and baidu.com, which are new residential properties and home furnishings Websites operated by the company, as well as acts as an advertising agent for sina.com and other non-real estate websites.
Take a look at the 1-year chart of Leju (NYSE: LEJU) with the added notations:

Outside of the July-August rally, LEJU has been trading sideways since it IPO’d. In addition, since the beginning of August, the stock has found support at $12 (red) whenever that level has been approached. Now that the stock is there again, traders should be able to expect some sort of bounce. However, if the $12 support were to break, much lower prices should follow.

The Tale of the Tape: LEJU has a key level of support at $12. A trader could enter a long position at $12 with a stop placed under the level. If the stock were to break below the support a short position could be entered instead.
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