Tuesday, 17 April 2007
I have a buy call on SAPRES with a target of RM1 and higher. Today it closed at RM0.505. Good luck.
I will post my analysis of Patimas at a later date.
Monday, 26 March 2007
Kumpulan Europlus & Talam Berhad
Kumpulan Europlus rose to RM0.885 (+RM0.105) today whereas Talam traded at RM0.355. These two are related companies and my opinion is that Talam will soon trend up to RM0.50.
Buy Talam, Target RM0.50.
Pilecon Engineering Berhad
It looks like Pilecon may have started to move after a long slumber. This used to be one of the darlings in the 90s rising from RM0.50 to around the RM5. My 2 cents is to buy at around current levels for initial target of RM0.50 and dreamers target of RM1-RM1.50.
Buy Pilecon, Target = RM0.50
Dreamers Target = RM1.00 - RM1.50.
By the way, I do not hold any of these stocks besides PATIMAS. These other stocks are based on my monitoring of the market over time. Keep in mind that "Price has Memory"!
Good luck and happy trading!
Monday, 19 March 2007
Nikkei : 17,009.55 (+265.40, +1.59%)
Hang Seng: 19,266.74 (+313.24, +1.65%)
China: 2,659.41 (+55.19, +2.12%)
South Korea: 1,443.39 (+15.51, +1.09%)
Singapore: 3,113.39 (+44.64, +1.45%)
The charts as we see it today:
[Chart will be uploaded when it has been updated.]
It seems that Patimas has stabalised around the RM0.14 to RM0.15, hitting a low of RM0.145 recently. There is strong support around this level and volume is decreasing.
Patimas Historical Share Price (Source: biz.thestar.com.my/marketwatch)
I would suggest buying into this counter between RM0.135 to RM0.15 if you have the patience to hold. However, perhaps wait for clearer market direction before entering. If the market drifts lower, obviously there will be opportunities to purchase at cheaper prices.
For those of you who have not noticed, Ekran has been on the move lately.
Ekran was supposed to be delisted last month but has had that date extended. Following its drop to a low of RM0.105, it has climbed back up to RM0.305. I have heard news that Tan Sri Ting Pek Khiing is attempting to clear his debts with Ekran and might inject Global Upline into the company. Global Upline is a construction company in which Tan Sri Ting is the "advisor", but everyone knows that he is really the major shareholder. Global Upline constructed the new Kuching International Airport and has several projects in hand as well. I believe that if the market is good, this counter may head to RM0.50 or even RM1 (dreamer's target). I do not hold any shares in Ekran as I think the risk of delisting or the company going broke is high. However, so long as Tan Sri Ting is pushing up his shares, feel free to take a punt. All I can say is good luck! I've noticed that the major shareholders of Hubline have recently acquired a few million shares and are now make up 2 or 3 of the top 30 shareholders. They are Foochow just like Tan Sri Ting so maybe they know something that we don't.
Tuesday, 13 March 2007
The KLCI closed 3.28 points lower at 1,200.01 points today after trading higher for most of the day, hitting a high of 1,214.15 points. After the lunch break, there was a sell down which caused the KLCI and the broader market to begin declining until the end of the day. It seems that local funds may have stepped in towards the end of the day to ensure the KLCI stayed above the psychologically important 1,200 point level.
Patimas it seems to me is beginning to form a base around the RM0.15 to RM0.16 levels. Volume has started to decrease which to me shows that the stock is stabilising after the volatility of the past month or so. I suggest to collect between RM0.135 and RM0.155. The RM0.15 level seems to have held strong this afternoon even after over 2milion shares were sold at this level. I believe that if the market trends lower however, the people behind this counter will allow this stock to fall to collect at lower levels.
There was a mention that Patimas is moving similar to Iris prior to Iris beginning its run up to RM1.38. I did do a comparison but I shall post this up at a later date. The movements do look somewhat similar although Iris stabilised around the RM0.14 level before its next big move. Basically, the volume in Iris decreased to just over 1million shares done per day for several days before volume increased significantly and the stock moved up to the RM0.20-RM0.22 level before moving above RM0.30.
If there is spare cash lying around, my picks are as follows:
- Gtronic RM0.29 and below
- Patimas RM0.135 to RM0.155
- Symphony RM0.33 and below
I monitor several stocks at once (up to 30) but I only focus on 10 main stocks that I might possibly buy. I invest using focus - meaning I put most of eggs into one basket. It can be risky, but if you select the right stocks, it can be very profitable too.
Anyhow, there is a lot of uncertainty and shaky confidence in the market at the moment so if you want to buy, I'm sure there will be opportunities unless the market suddenly takes off. When you are in doubt about what to do, about how different events will affect share prices, refer to the charts - the market will take these factors into consideration and the charts will tell you what to do (if you can read it right!).
May all your trades be good trades.
Friday, 9 March 2007
For those of you who are familiar with candlesticks, you will understand the significance of the gravestone doji formed by today's trade. This doji after the recent uptrend indicates a failed rally and a possible reversal of trend. From my personal analysis, this shows that the the upward movement over the past 3 days was a technical rebound and possible a wave 'B' in a minor bear wave. This needs further confirmation from Monday's trade, but this means that the KLCI is likely to trend lower on Monday which may lead the KLCI to decline past the 1,086 level achieved during the week.
Patimas closed down RM0.01 today at RM0.15 with 5.7m shares done. It should be noted that 4.7m shares were done at RM0.155 and RM0.16 and only 26,000 shares were done at RM0.15. It seems that the last trade of the day of 9,000 shares was done at RM0.15 which depressed the price slightly to RM0.15. It seems there are buyers around this level. Volume is shrinking which shows less tug of war between buyers and sellers. The price seems to be settling at around this level barring any unforeseen downtrends in the future.
Thursday, 8 March 2007
Wednesday I made a few quick trades. I had purchased Symphony-WA (RM0.185, RM0.19) and Patimas (RM0.155) towards the end of trade on Tuesday and disposed of them on Wednesday at RM0.20 and RM0.16 respectively for a gain of about RM800 as I thought the market would trend lower today. The resilient market caused me to re-enter the market this afternoon. I bought heavily into Patimas at RM0.155 (closing RM0.16), and am waiting for the counter to move to at least 0.25 before considering to dispose. If the market is good, this counter may run to RM0.50 or even RM1 if the bullish trend continues.
Asian Markets had moved strongly higher during the day as follows:
Shanghai Composite 2,928.015 (+31.421) (+1.08%)
Hang Seng 19,175.17 (+256.53) (+1.36%)
Bombay 30 13,049.35 (+469.60) (+3.73%)
Nikkei 225 17,090.311 (+325.69) (+1.94%)
Straits Times 3,122.49 (+63.34) (+2.07%)
Seoul Composite 1,423.89 (+12.94) (+0.92%)
With regional markets continuing to move strongly, I predict Bursa Malaysia will continue its bullish run. May your trades be good trades.
Tuesday, 6 March 2007
My point of view, Patimas looks like it's going to be the next IRIS. In 2005, IRIS rose from RM0.08 to RM1.38 - it was rumoured to be played up by Repco Low. Seeing that several directors wanted to sell their stake in Patimas to IRIS in exchange for IRIS shares, I suspect there may be some sort of link between these two counters. Patimas's NTA is RM0.16 and they have been making money every year up to the current year. I'm betting that if the market runs similar to that spurt in 2000 where the KLCI hit 1,000 points or pre-asian crisis times, there will be no counter under RM1. Seeing that this counter has positive NTA, has had a strong profit record and betting that the market will remain hot, it may be a long shot, but my "crazy target" would be in excess of RM1.
As for Symphony, this stock has been played to a high of around RM2.80 or RM2.40 a few years ago. The adjusted all time high is RM1.60 (taking into account share split etc). Potentially, I think Symphony can hit RM1. It reached a high of RM0.68 a week or two ago before the sharp drop in the market. The warrants expire in 2 years and have a pretty high exercise price. However, when the market is hot, logic is usually thrown out of the window - have a look at Insas-WA for example.
Anyhow, I reckon tomorrow's morning session will be up assuming the DOW closes in positive territory tonight. Hopefully our market will continue its uptrend soon.