As you know, I have been saying that there is another leg upwards ages ago... this up leg has yet to take place and it should have taken place by now... I am now revising the call without this up-leg.
Dow - the up leg appears to have been stopped by its 50-day SMA. There is still a small chance that it could reach 12,900. Nevertheless, I expect more downside from here or from 12,900. This bounce is likely over... if you are waiting to buy, best to wait a while longer... maybe up to end of April...
STI - 3,268 appears less likely... get ready for the fall towards the 2,746 level again
KLCI - a break of the Jan low of 1,340... it could fall further to 1,280-1,289 next.
Best to stay away if you want to buy the market... If you are willing to short the market, there are opportunities.. Pls note that - Shorting is not allowed in certain markets. Shorting is also dangerous and should only do so if the available excess cash.
Friday, 29 February 2008
Friday, 22 February 2008
Outlook for the Dow and the rest
DOW is currently fininshing its b-wave triangle. It should continue to rally for the c-wave correction soon. I am looking at the 12,900 levels for this c-wave.
STI - Similar point of view. 3,268 is the level that I have for the STI c-wave.
KLCI - Should continue to ease to about 1,275-1,285 before rebounding to retest 1,420-1,432.
STI - Similar point of view. 3,268 is the level that I have for the STI c-wave.
KLCI - Should continue to ease to about 1,275-1,285 before rebounding to retest 1,420-1,432.
Sunway Holdings (4308) - Trading opportunity
In a StarBiz report today, Sunway Holdings was awarded the sub-contract works by MEB Construction Sdn Bhd to construct and complete the privatisation of the South Klang Valley Expressway for RM264m. Construction would take 19 months plus an additional two months for testing and commissioning.
Technically, the stock posted a hammer candle yesterday. It hit a low of RM1.12 before closing marginally higher at RM1.23. On the longer term chart, the stock also tested its breakout support level. This may be a good level to get for both the short and long term.
Investment strategy (for illustration purposes only): - Buy 10 lots of Sunway or its warrant-B (should be able to buy more warrants - for leverage). Cut loss point for Sunway, is RM1.11. The ST upside target is RM1.40-1.45. LT target points to RM1.70-1.78, its 100-day SMA. When the stock reached the ST target, take profits on 5 lots and raise the stop loss point to breakeven point of RM1.26-1.27. Hold the rest until the next target or is stopped out at the higher stop loss point, whichever comes first.
Technically, the stock posted a hammer candle yesterday. It hit a low of RM1.12 before closing marginally higher at RM1.23. On the longer term chart, the stock also tested its breakout support level. This may be a good level to get for both the short and long term.
Investment strategy (for illustration purposes only): - Buy 10 lots of Sunway or its warrant-B (should be able to buy more warrants - for leverage). Cut loss point for Sunway, is RM1.11. The ST upside target is RM1.40-1.45. LT target points to RM1.70-1.78, its 100-day SMA. When the stock reached the ST target, take profits on 5 lots and raise the stop loss point to breakeven point of RM1.26-1.27. Hold the rest until the next target or is stopped out at the higher stop loss point, whichever comes first.
Thursday, 14 February 2008
No change in outlook
I still think there is one more leg up for Dow, STI and KLCI. This rebound should last till about end of the month before another round of selling takes place.
Do not be too 'gung ho' in buying the rising markets now. Things have not change in the longer term. However there are a few stock that are worth looking at right now.
In Singapore, I believe that there is room on the upside for property counters such as Allgreen, City, Singapore Land, and Capitaland. There are divergences on its MACD which could see these stocks rally a decent 5-10% from here.
In Malaysia, the plantation counters remain in the spotlight. Property counters in Malaysia may also rebound together with regional property players.
Do not be too 'gung ho' in buying the rising markets now. Things have not change in the longer term. However there are a few stock that are worth looking at right now.
In Singapore, I believe that there is room on the upside for property counters such as Allgreen, City, Singapore Land, and Capitaland. There are divergences on its MACD which could see these stocks rally a decent 5-10% from here.
In Malaysia, the plantation counters remain in the spotlight. Property counters in Malaysia may also rebound together with regional property players.
Wednesday, 6 February 2008
Happy Chinese New Year!!
Happy New Year!! Gong Xi Fa Cai!!! Gong Xi, Gong Xi!!!
Here is to wishing everyone a Happy and Prosperous New Year!!! Hopefully, the year of the rat is going to be as good as 2007. Happy Trading everyone!!
Regards,
Shooting Star
Here is to wishing everyone a Happy and Prosperous New Year!!! Hopefully, the year of the rat is going to be as good as 2007. Happy Trading everyone!!
Regards,
Shooting Star
Monday, 4 February 2008
C-Wave up
US markets posted a biggest weekly gain in 5 years last week. Banks, builders and retailers helped lead gains. The Dow is expected to climb to test the12,900-13,100 level. It is a bit difficult to see right now if that level would break. I still believe that there is somemore downside to come from those levels. Best, I believe that it would be to take profits or cut losses around those levels.
STI could rebound this week to 3,268 followed by 3,325.
KLCI to rise to test 1,417-1,420 followed by 1,435. SapuraCrest or its warrant looks interesting today. It could run as it has a very high beta to the market. The stop loss for SapuraCrest is RM1.45. The upside target is RM1.90. So, it is a tradable option for this short run. :)
STI could rebound this week to 3,268 followed by 3,325.
KLCI to rise to test 1,417-1,420 followed by 1,435. SapuraCrest or its warrant looks interesting today. It could run as it has a very high beta to the market. The stop loss for SapuraCrest is RM1.45. The upside target is RM1.90. So, it is a tradable option for this short run. :)
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