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.

Get Ready for RM10 Billion Amanah Saham 1Malaysia Fund

Today will be the day the Malaysian Government starts issuing the RM10 Billion Amanah Saham 1Malaysia Fund. If the market is very positive and optimistic about this news.

I foresee another 30 to 60 point uptrend for the KLCI, however, do take note that regional Market sentiment would still affect the performance of KLCI Futures.

US Dow Jones Market has broken 9300 Level but has starting to loose it steam, it went up about +33 points last night. With Nasdaq breaking the 2000 Level and S&P Breaking the 1000 level. This is a good sign that the market is bullish.

However, KLCI closed at 1170.50 yesterday while KLCI remains at 1179.0. Today KLCI might Gap up and then soften down. Remember to use 5 Min chart to monitor.

US Dow Jones break 9200 Level but pull back. only Up +17 Point

US Dow Jones breaks new high of 9218 last night, but retraced back to 9171.61. Hence this would be forming another Doji & Uncertainty Candle Stick for the US DJ Market.

Uncertainty normally means that the market is consolidating for a new Direction and the charts and economic will be vital for the Market Direction Next Week. So far the Market has rallied for almost two weeks.



The KLCI August Futures Contract suddenly slump down 10 points at the last 1 hour of the trade, hence we should be more cautious when market is near a new high. As there is always profit taking of almost 12 to 25 points drop down. Alot of ppl will mistaken it for Reverse Signal then rebound again. 5 Minute charts shows the trend is moving down to the bottom, but MACD and Stokastic shows a rebound soon.

KLCI close at 1174.90, so if KLCI goes up slightly due to the uptrend due US Dow Jones and the positive economic datas from China & US. It will be a great week ahead. Regional Market now mostly depends on China & Hong Kong Stock Market in the Morning and afternoon, after 3p.m. its European Market and US Dow Jones Futures.






The KLCI is currently at 1174.90, and it still showing strong uptrend in the long term, but do expect some profit taking in this week. The Malaysian Government announced RM10 Billion Amanah Saham 1Malaysia Fund to be release for public investments starting 5th August. This will definitely push the KLCI Index up another 50 to 60 points if the funds are put into the KLCI 30 Counters.

As for Stocks. Sime, Genting Malaysia and Genting Singapore is always at the Top Volume and Gainers among the 30 counters, they are also the major counters that push the Index up for the past 2 weeks.



Do be cautious of sudden profit takings, and trade with stop loss. Monitor Buyer & Seller Signals and trade with a focus mind. :)

New Highs: KLCI Futures 1166 & Dow Jones 9100

KLCI has hit a new high at 1166 and US Dow Jones has also hit 9100 Level. Market seems very bullish. How ever, beware of profit taking levels.

KLCI Futures soften down to 1150.50 yesterday after it breaks new high at 1166. Then went up to & Closed at 1157. I believe that KLCI Futures will always soften down a bit after it breaks a new high. it won't come down more than 20 points for now.



Trade using the Seller vs Buyer technique and monitor your MACD and Parabolic SAR. And take profit when u see the MACD starts to trend down.

KLCI Futures Breaks New High w Strong Uptrend

KLCI Futures has continued to break 1100 and is now at testing 1130. However, do bear in mind that KLCI has went up almost 100 points from the 1035 level.

The Current Support is at 1020 for today and resistance is at 1035.

CIT American Bank is facing bankruptcy risk and its fate will be decided within this few days. So do take note that this will affect the US Dow Jones market tonight and possible the regional trading sentiment for next week.

For those of you that are trading well, trade with stop losses and good luck.

Side Way Trading

Morning Guys, its been 2 weeks since I updated this blog. I was away in China for a 10 Days Holiday and now even after I am back in Kuching, I have to do self quarantine for a week.

So I am only in the OSK Office by next Monday. Anyway, here is a brief summary of my view of the market. Market is now in a Consolidation Stage, following the bad unemployment report of nearly 10% for US Economy and the need of a 2nd Stimulus Package.



Market will move to a new trend after the consolidation, personally I feel the support level at this moment is 1035, and resistance at 1092. Normally July Month is a quiet & slow month, August is more active and bullish.

So therefore Buy low and Sell High. use 5 Min Chart for Day Trade, EMAC 2 & 5. Any queries, just sms me or email me. Thanks.

KLCI Slumps down from 1092

Beginning from Last Monday till today, KLCI continues to slump down trend, breaking a few support levels due to Lower Fuel Prices & Commodity prices. Penny stocks has suffered a massive sell down.

Oil Counters have fallen almost 20% from the previous high and I advise caution on trading Penny & Speculative stocks.

Regional Market shows that US Dow Jones were down by -200 points and hence today Regional Market will suffer a slight pull back. There is not much positive signals on the charts despite news is coming out that the economy is recovering.

Be very cautious during this Consolidation Period.

KLCI Daily Charts shows that its on a downtrend for now.

Bullish Regional Market Breaks New High?

Friday night US Dow Jones went up +28.34. Hopefully Monday the KLCI Will went up about 3 points also. Then it will do Sideway Trading.



Find the Support & Resistance and trade from there. Buy Low, then Sell High. I have use this tactic and have made some good money so far.



KLCI Chart still shows Bullish Sign and will be sideways during the Morning then you will see the direction in the afternoon, try not to hold any position over lunch time as Shanghai Market always affects our 2:30p.m. Opening.

CI & Futures Break New High, but US Dow Jones only up +12.89pts last night.

After Dow Jones went up +79 points, and breaks new high. KLSE & KLCI Spot Month Index Opened Higher and was side way on Friday morning. However, KLSE & KLCI Was very bullish in the afternoon. KLCI Closed High at 1075.50 with a volume of over RM2 Billion. KLCI Futures closed at 1076.6 after hit new high at 1079.



KLCI Futures shows alot of signs of Bullish, however, due to the Slight up of only +12 point for Dow Jones, I think Monday morning will just be another Sideway Morning. Hence I will take profit 1st then wait for any signs of breaking the 1080 resistance before I long or Short Futures.



Morning Session we will need to watch Shanghai and HSI Index Trend, afternoon maybe US Dow Jones Futures & European Markets.

Wish you all the best of Luck on your Monday Trading.

Sideway Trading for 3 days.

The past 3 days has been side way trading for 3 Days. With Support Level at 1051 and Resistance Level at 1075 (Highest Level for Futures for 2009).

Today Futures Close at 1068, touching 1068.50 highest today.
It open low at 1051, due to the drop of US Dow Jones Last night.



It has came to a fact that the US Dow Jones Market will definitely effect the opening price of KLCI Futures. Last night US Dow Jones went down 69 points, but Futures was only down by 3 points and then open up high to 1068.50 after a whole morning of Side way between 1054 to 1058.



I long 1 Contract at 1068.00 today after seeing US Dow Jones Futures & European market was positive. Will Take profit at 8:45a.m. tomorrow morning if the market goes up in my favour.

I tend to try 1 over night position depending on the US Futures & European Market Indices. So wish us all the best of Luck.

KLCI June Futures new High till 1063 and soften down to 1056.50

After a weak and slow morning, June Futures Contract Rebounded and surge high till 1063 after lunch. It then softens till 1056.50. The Last 1 minutes of 8 points drop of KLCI till 1044.11 shows a sign of caution.

Maybank, Commerz and most Banking stocks shows a sign of downtrend and weakening. Monday night US Market would be affected by the General Motors Company Announcement of Bankruptcy.



US Dow Jones went up almost 96.53 points. Let's assume that KLCI Futures will also follow its trend and go up for about 6 points. It must be the 1063 High to be bullish, but however, remember that KLCI futurers also get's weak after break new highs and slumps down.



My strategy for Monday will be to Sell high and Buy Lower. For day Trade, Sell High 1st then Buy Low. Monitor Buyer & Seller Volume and Monitor MACD and Stokastic.

KLCI Breaks new High till 1059.88 and soften down to 1047.68

After Dow Jone went up +196 points last night, all regional markets continue to grab its steam and headed for new highs this morning. Japan Nikkei & Hang Seng Index has broken year high for 2009.

KLCI open high till 1059.88, but then soften down till 1047, it was the only regional market index in Asia that closed Negative today with Korea. Malaysia GDP was announced and down -6.2% from last year. This maybe the reason that dragged the KLCI down. Volume today was low to only about 15 Million. In order for the market to be qualified to be a bullish market, it has to have at least 20 Million to 30 Million Trading Volume.

Futures Breaks Year High till 1045.50 then Softens to 1029.00

Our KLSE break 1050.45 New high and then immediately went down to 1035. Future was highest at 1045.50 on Thursday and close at 1029.00. Careful if you are longing Futures on the market. I already shorted at 1037. Its a shame that i didn't short at 1045 when the market hit high. Closely monitoring the Futures market using 5 Min chart has made me realize a lot of strong and useful signals and hence the problem is Discipline.



Speculative & Blue Chip Counters were on the Red and Volume was only 130 Million. This is s strong signal that the KLSE is weaken and maybe facing a Possible Market Sell Down.

As I write this Blog at 1a.m. Friday Today, US Market Dow Jones has dropped -137 over points due to the weak Jobless Claims and the Negative S&P report of UK Economy.

There is a Strong Resistance at 1050 KLCI. In order for the Market to be bullish, our CI Volume must hit at least 250 Million per day. For now, I am shorting the market and wait for Reverse Signal.

Be Cautious of Speculative Counters

US Dow Jones has dropped almost -62.68, it is possible that KLCI Futures might test the 1000 Support again, should it broke thru. There will be a market sell down.

For those of you who are holding KNM, SAAG, LionCorp, LionDiv, TimeCom and other speculative counters. Be cautious as these Goreng Counters have already lost their momentum and is reversing due to Profit Taking.









The Charts shows that the RSI & Stokastic is weakening. Personally I am not holding them, I only trade futures now.

KLCI Futures Testing 1000 Support

Its been a few days since I last update this Blog.. The KLSE & KLCI Futures Index has been trading Side ways daily and is now beginning to trending down.



KLCI Futures is now at MACD Cross and is beginning to show signs of weakening and might start to trend down.. Lowest for KLCI Futures today was 1002.50, Closing at 1003 today.

Should US market goes down more than 100 points tonight. Tomorrow KLCI Futures might open lower than 1000. Should KLCI Futures goes below 1000, we might be looking at 970 Support Level for the Mid Term. Monitor the MACD and Stokastic.


Monitor your trades closely and put stop losses. I am now mostly at OSK Investment Bank in my Futures Trading Room most of the time during market hours. Feel free to call me at +6016-8864229 for any inquiries.

KLCI Aiming For 1050???

KLCI Futures hit 1038 yesterday, just another 12 point to 1050. From the KLCI Futures 5 Mins Chart & Judging by the fact that US DJ was Down 102.43 point, most likely KLCI Futures today (08/05/2009) would open lower, then go uptrend, depending on how strong is the regional market. DJ Market Futures is at Positive now, so indicate a more positive signal.



From the 5 Mins & 15 Min Chart, KLCI Futures would be trading side ways today, so buy low and sell high, if you are not sure, just buy when market has hit low and is about to reverse by watching the Stokastic and MACD.



The Daily Chart shows that KLCI Futures is in a strong uptrend, with MACD hitting almost 29, and Stokastic hitting 88 & 90.



My trading strategy today, Long when futures open lower or hit lower. Monitor your stop loss and watch Stokastic, MACD and Moving Average.

Get Ready for KLCI 1000

European market closed at High on Friday Night, US Dow Jones went up 119.23 points. Which would make most traders assume that our KLCI Future will break the 1000 Level on Monday.



Judging by the strong uptrend now, this could happen, however, after breaking the 1000 Level, the CI might soften down a bit to rest and then trade sideways.

Personally I still recommend just buy low and sell high. Long Future when u see the market has gone weak and is going to recover to a Bullish trend, Short when u see the market is exhausted and is going to come down. The MACD & Stokastic is useful as an Indicator.



Watch the Signal Indicators like MACD, Stokastic, Moving Averages and find the Support & Resistance. Personally I use the 5 Min & 15 Min chart for day trade. Daily Chart for Position Trading.



Watch out for Reversal Signal and trade with Caution & Stop loss.

Bullish Day for KLCI, KLCI 1000 points Soon?

Its been a while since my last Posting as I have been busy with trading and preparing for Holidays. Anyway, back to business.


KLCI Futures today has hit a new high for the year 2009 at 989. Another 11 points more and we will see the 1000 Level breakthrought. Every body is bullish about it.




From the Charts, KLSE Futures seems quite strong. There is the 5 Mins charts, 15 Mins and Daily charts all showing an uptrend.




Despite the Bullish trend, I would be cautious when the Stokastic hits 100 and MACD is above 2.3. That is the time when market would slow down for a rest from my observation.

All Moving Average Signals shows that CI Futures is on an Uptrend for now. However, trade with Caution.

Strong Bullish Trend for the Day

KLSE Futures today surprised the market with a 33 Point hike from 880 to 913. Note that 914 is the February highest point before slumping down to the 830 Level when Dow Jones hit 6500.



As I write this blog, Dow Jones is breaking the 8000 point level which is another bullish day for US Market. This no doubt will push KLCI Futures slightly higher tomorrow (Friday, 3rd April 2009). It is also the day when Malaysia's 6th Prime Minister Najib is sworn into office at the Agung Palace tomorrow.



3rd April 2009 will mark a Historical Day for Malaysia. Let's hope KLCI Futures will break into newer highs for this month and break thru 925 tomorrow. Resistance will be at 930.



HSI was up 7.41% with an increase of 1,002 points to 14,521. Good news for those that have
bought Hong Kong Shares like Bank of China, ICBC and Chalco would be very happy tomorow as today the stocks already soared more than 6% averagely.


Remember there are always opportunities in the Stock & Futures Market. Most important is to pick quality shares and buy low sell high. Don't go for those Penny stocks as they are the most riskiest when market collapse. Foreign Funds always go for good Quality Blue Chips, not speculative few day momentum Penny Stocks.

Here are a few active HKSE shares that I always monitor on the Market:

1. Bank of China - HKSE Stock Code 3988
2. ICBC - HKSE Stock Code 1398
3. China Construction Bank CCB - HKSE Stock Code 0939
3. Chalco -HKSE Stock Code 2600

As for US, since they are quite pricy due to the USD Exchange Rate, CitiGroup would be a good buy if it ever goes down to USD1 again.

Hopefully, by Friday 5:15p.m. KLSE Futures Spot Month would have break 925 by then. Have a good trade and a good weekend.

Uncertain Market, Just Follow the Trend.

Last week has been a slight bullish week for KLSE & other Regional Markets. With the US Goverment Announcing a 1 Trillion Dollars Stimulus plans, Domestic Factors like UMNO Election pushing the local Stock Market. It pushed the KLSE up to 895 highest.

However, resistance formed at 900 points and it now seems that the market is waiting for more news to decide its trend. US market was down -149 points on Friday night. Most likely KLSE will open slightly high but then soften down.

One thing I must say about the US Economy System. Its funny that the US Government gives Financial Aid to AIG, and then allow AIG to pay "Bonues" using US Taxpayers money when a Company is already making huge losses for many years. The top 3 Troubled AutoMakers in US takes private Jet to ask for Financial help from the US Federal Government, AIG pays Bonus to almost USD100,000 each to their top Management. I wonder what we will hear next? Unemployment Rate is coming close to 10% at Historical High since the Great Depression.

Remember there market is always goes up and go down, currently it lacks the sustainability of a Long Term Bullish market. Trading Range is between 830 to 915 for now. Just follow the Trend Signals using 5 Min and 15 Min chart.

Fast Stockastic & MACD would show that market is softening down for the follow Monday. However, do remember that External Factors will also influence the market. Just monitor your trades and put a stop loss.