Monday, 19 March 2007 - 1,192.22 (+10.02)

The market gained 10 points today after a week of choppy trading. During the past week, China has raised their interest rates whereas the Dow Jones is swinging back and forth as investors try to factor in the level of risk surrounding subprime leases. Regional markets performed strongly today, with some rising close to up to 2%.

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.]

To be honest, I have no idea what is going on with the market at the moment. It is see-sawing up and down and I think the safest thing to do is to wait for a clearer direction. There's a lot of uncertainty in the market and it seems that most investors are on the sidelines. Volume has fallen below the 1billion share market which hasn't been seen for many months.

Patimas

(Source: biz.thestar.com.my/marketwatch)


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.



Ekran

For those of you who have not noticed, Ekran has been on the move lately.

(Source: biz.thestar.com.my/marketwatch)

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.

Happy Trading!