Steel counters on the KLSE are looking overbought and a temporary pullback is likely... Yesterday we saw a large surge in all steel stocks including the smaller ones like leader steel. Trading volume was also up suggesting that the uptrend has just started. However, do not be fooled. There is a good chance that yesterday was a buying climax - at least for the time being. There is no doubt that there is an uptrend but TRY NOT to jump in at this current lofty levels. Wait for a pullback maybe a better choice, in my opinion. Just my 2 cents. Trade cautiously.
Kinsteel - could ease to RN1.37-1.45. Lion Ind - could ease to RM2.30-2.50.
Also note that, steel prices could be on its final leg of its long term uptrend. Be forewarned that steel prices, as a matter of fact, all metal prices could peak sometime in 08/early09.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment