Top 5 Counters to Invest - KLSE

The World Market has taken a panic selling and recent slumps has cause even alot of good quality shares to drop at least 20% to 30%. Here are a few good counters with strong Fair Value and Coporate Earnings for the past few quaters that are worth investing. Buy at weakness, Sell at Strength or New Highs Broken.

One of my Favourite Counters is LionInd, with a Fair Value of RM2.51 according to OSK Top 2010 Jewels Research and a Net Asset of RM4.05. Its latest Quaterly Report last Thursday 27th May 2010 has reported a Strong Increase of RM88 Million Net Profit Gains compared to last years 20091Q RM256 Million Losses. Judging by the Profit Report, the Target Price will be upgraded from RM2.51 to RM2.80 at least. And hence bringing in a lot of buyers/investors by Volume. It has a strong surplus of Steel Assets which the world is in much needed and production prices are increasing which will add to its profits.

My Recommendation: Buy as long as there is a strong dip.

Lowest Price Last 1 Month: RM1.37. (Buy at Rm1.40/RM1.25/RM1.10 if got drop)

Strong Price Last 3 Months: RM2.00 (Can Sell if above RM2.50).

Strategy, Buy some at small drop, buy more and more as the drop gets bigger and bigger.

Kencana Petroleum has a Strong Order Book of nearly RM1.6 Billion and Growing. Its Lowest Price last week during the European Debt Crisis was Rm1.27. That time US Crude Oil Price was near USD67. Now that US Crude Oil has risen to USD75. Kencana with its strong orders books with tons of projects coming in, has increased to Rm1.36 only. Expect strong quaterly results and annual results from this counter.

Its Fair Value and Target Price is set at Rm1.81, next level will be Rm2.20. Good Buy at RM1.30 and below, can buy some now and buy more later on if there is any more drop. Keep till above Rm1.80. Its one of my Favourite Oil & Gas Counters.

BJCorp, being 48% Own by Tan Sri Vincent Tan, Malaysia's Top 10 Richest Man, Berjaya Corporation is of no small name to most investors. Its recent aquisition of the new Soccer Bettings will improved BJCorps Earnings in the near Future.

BJCorp's Lowest Price Recently is Rm1.44. Highest Price is RM1.83. With a Fair Value/Target Price of RM2.15 based on the latest Reports.

Axiata is previously know as Telekom International which has massive investments world wide in Telecommuncations and 3G Networks. A Major Player in the Region and with huge earnings.

In the Year 2008, if Suffered a loss of nearly RM500 Million when TM Group switch all of its losses to Axiata, in Year 2009, it make a huge record by earning Rm500 Million in the subsequent year.

Axiata is a good buy at RM3.50 Level, Target Price Rm5.05 according to most Major Reports. Giving it about 25% percent increase by year end. Current price is Rm3.67 after dropping from RM3.97 last month.

Affin Bank is my Top Banking Stock after Maybank & CIMB. Affin was recently competing with HLBBank for EONCap but EONCap has choosen to accept Hong Leong Bank's Taker over Offer. So leaving Affin Bank in the Cold.

But Affin Bank's Earnings are quite strong, fair value is about RM4.00. Suggested buy around RM2.75 Level, and sell above RM3.30.

Market Free Fall, will it end soon?

CPO is still trading at a Range of 2400 to 2500. Support is at 2500 as long as US Crude Oil Price don't drop below USD65.

KLCI will soon rebound as its near its bottom soon, the immediate support now is at 1230 and then 1200. If both breaks, we will see another downtrend towards 1180.

World Markets took a dive again today as I have predicted, I hope you all have shorted after 1350 as the market was reach its peak, but now I think market will bottom out soon. after KLCI drops below 1200.

It would be a good time to prepare some cash to pick up quality stocks then. :)

Regional Markets Breaking New High, DJ 11,000 & KLCI Futures 1350 Soon?

US Market & Regional Asians Market including our KLSE & KLCI Index Break new highs today. Tonight US Market should break US Dow Jones 11,000 if this momentum continues hence breaking a new resistance level, KLCI Futures should break 1350 tomorrow if tonight US market is very bullish.





From the Charts you will see that Most Regional Markets are near its peaks so get ready to take profits and set a stop loss if there is a sudden change of trend.





For the KLSE & KLCI as long as the volume traded are still more than 1 Billion then we are still in a strong bullish uptrend, if the volume goes less than 800 Million. Then its a not so bullish and more into a consolidation level. Get read to take profit anytime :)









CPO Has already gone down to RM2570 while USD Crude Oil has hit new high of USD85.67. Expect CPO to Rally after it soften down to RM2500 level soon.

Market Forming Support, Oil Price still Up

CPO Market suffered a Slump of almost 120 points from 2726 due to Corn Oil and Soya Bean Production Over Supply at South America, this has resulted a Sell off at CPO here. Corn Oil Price are now more stable and is rebounding, so good time to Long CPO when its lower now. Estimate that CPO Prices will break 2850 within the coming 2 months.

Oil Price maintain above USD 82.00 for now, testing USD83.00 a few times. Everytime Oil goes up every USD1, CPO would go up about RM25 if Corn Oil and Soya Bean Oil also increases.

Futures is facing some resistance at 1305. Should KLCI breaks above 1300, it should break 1320 before it goes up to 1350.

KLCI & KLCI Futures is strong and holding above 1290 Level. Testing 1300.50 for a while.

US market is holding strong at DJ 10,600 points. Should this support is broken and breaks below 10,000, we will be looking at KLCI testing 1250 again.

KLCI Futures Touch 1300 Finally, CPO Above 2700

After 6 weeks of waiting, with no positive affect from Maxis IPO Listing. KLCI Futures finally hit 1300 Level. Volume has started to come in for KLSE and Volume is strong above RM1 Billion.

With US Dow Jones Market Breaking 10,608 last night, KLCI should be break 1,300 soon. Market is now on an uptrend and more on Oil/CPO Rally. Rubber & other Commodities is also on an Uptrend.

KLCI is on an uptrend to break 1,300 Level Soon.

I have been trading CI Futures, but I am now more focus on CPO which went up from Rm2,200 to Rm2,700 within the last 3 months. CPO is definitely more active and more interesting and easier to trade than KLCI Futures.

For the past 2 weeks US Light Crude Oil has went up from USD68, touching USD82.47 just now even. CPO look like on track for RM2700 to RM3000 should this Oil/Soya Bean Rally continues.

With this Icy Winter, Stocks Counter that are Oil related are also among the top volumes. I maintain a bullish look on CPO to Rm2750 for this week and will break Rm2800 soon, Current support is around RM2680.

KLCI 1300 Soon?

As I have predicted, KLCI Futures is on its way to 1300, and with Maxis IPO Listing. Everything is very positive. News from US Market is very positive as most markets are consider in a Strong Recovery. This might last for another month or so, I am more cautious after US DJ Breaks 11,000.

The Maxis IPO will be listed on the 19th Nov 2009, it has bring in alot of Foreign Funds and the Telco Sector would more or less move. YTLE might be a good buy if you haven't manage to get the Maxis IPO.

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From the Futures chart, it shows a beginning of an small uptrend. If it pulls back, it won't be more than 20 points. opportunity to long and good to sell higher if US market goes up and our CI Futures Opens Gap up. I prefer to buy more when the market is lower and sell again when our CI Opens Gap Up.

Maxis IPO most likely will bring a short term rally into our KLSE, plus good news from regional markets & China Markets. Telco Shares are the focus for the coming two weeks.

Axiata & TM might face some profit taking as funds will sell them to buy Maxis. So the CI would be slightly mixed with more uptrend positive signal.

US Dow Jones Break 10,100 Resistance and KLCI Futures will break 1270

Following the positive financial results from Apple and Texas Instruments that blew pass the analyst expected results, US Dow Jones went up as high as 10117.96 to close at 10092.19. Market seems quite bullish as even now US DJ Futures is up.

For those of you that's trading Futures, this weeks there will be almost 125 S&P 500 Companies making releasing their financial results, which majority will blew past expectation.

KLCI & KLCI Futures Chart is currently at its highest since it hit 800 points. Market is very bullish but beware of peaked signals and profit taking. There will no doubt be some slight profit taking, put a Profit Trailing Stop. Go in again then MACD and Stokastic signals are confirmed.

US Dow Jones Break 10,000 Resistance and KLCI Futures will follow suit!

US Dow Jones Break 10,000 Points, back to 1 year high because the crash down to 6,500. Due to JPMorgan's Extremely Upbeat quaterly results which was 6 times better than the same quater last year. JPMorgan was still earning 257 Million last year when other Banks will doing massive writedowns and asking for government Bailout or Financial Aids.

Intels Great 3 Billion USD Profit also help pushed the US DJ to a positive +100 start up when the market just opened at 9:30p.m. last night Malaysian times.

Tonight will be the Quaterly result announcement for Goldman Sach and CitiGroup. Hopefully their results will beat expectation and the market will rally again.

US DJ Daily Chart still shows a positive rally, Stokastic shows that its a bit overbought and might have some profit taking before the market rally again tonight :), but on the long run, there is no down trend signal, maybe just a slight profit taking. The Bull must rest for a breathe, before running again.

KLCI Chart shows the same positive momentum for Regional Markets & DJ.

From the Technical Chart Point of View, CI Futures is on a Strong Uptrend, but might face some profit taking coz its a bit over bought now, but Daily chart is still on a Strong Uptrend.

Immediate Support for KLCI Futures is 1248, Resistance at 1260, however, i believe that it will be broken today.

2nd Resistance is 1270, Support at 1250.

3rd Resistance is 1285, Support at 1270.

That's it for today, if you wish to enter, remember to put your stop loss, if I don't update this blog, meaning that I still think the market is on an uptrend for now.

CI & Futures Ready to Test 1240 & 1245

The US & Regional Market has been quite bullish for the past few days after a two week minor correction. KLCI Futures went down to 1200 where a strong support is formed. And has rallied to 1235 Level since Monday.



Currently a resistance is forming near the 1240 level and support formed at 1230. If you notice, the KLCI Futures is always normally about +4 Point Premium from the KLCI Index. Now KLCI is 1230, where as the Futures is 1234, it was as high as 1236.50 where the signal was super bullish.

Do expect a slight pullback after it breaks 1240, and good entry point again would be 1230 to long with 1225 as support.



KLCI Shows that there is currently a beginning of an uptrend, however, expect a slight rest after a week of rally, next week alot of Banking Results will be released from the US, so do be careful.

In summary, my view on the market. US DJ must break 10,000 for the KLCI Futures to break 1250. DJ is now 9786.87, just another 213.13 points to 10,000.

KLCI Futures is now 1234, just another 16 points to 1250. I don't wanna predict 1300 for now coz market might see some pull back when hitting 1250, I follow MACD, Stockastic and RSI in the charts strict, if the signal is good, I will still hold my positions and let the bull run. Else just take profit and enter again when the market is near bottom using 5 min, 15 min and daily chart to strategize.

Good Luck with your trading and remember to monitor buyer/seller volume. Currently my view for futures is:

Imemediate 1st Support 1230, 1st Resistance 1240.
2nd Support 1225, 2nd Resistance 1250.
3rd Support 1220, Strong Resistance at 1260.

Singapore Speculative Counters - HG Metal & MAP Tech

A Close friend of mine ask me to do a review on these two counters. Personally I think her eyes are as sharp as a eagle. :P

Anyway, MAP Tech is now trading at SGD0.065 Cents, personally I think its not really a fundamentally strong counter. And now its slumping down. I won't encourage people to buy until I see a Parabolic Dot on Top. And its Volume are consider quite low and won't be actively traded. Better look for a better counter. But if you got spare cash, can buy around 0.05 and then hold and sell it when around 0.080. Earning about 60% just with 6 bids movement.



HG Metal however is better with support formed around 0.120. And you put stop loss 2 bids below should you choose to enter. Seems like its getting ready for a short rally, as Stockastic and MACD is starting to trend up on the Daily Chart. Volume is also better than MAP Tech.



Remember to trade with Stop Loss and Good Luck.