Stock Picks | SGX Singapore

Bursa Malaysia Stock Market May Come Under Pressure

noreply@blogger.com (Alex Gray) — Sat, 23 Sep 2017 12:55:00 +0800

Riding on the strength of an overwhelmingly bullish Wall Street the previous Friday, Asian markets shrugged off geopolitical tensions in the Korean Peninsula and steadied on renewed buying momentum at the start of the week.

South Korea led way in the region, with the Kospi Index spiking a hefty 1.4% while the Japanese market was shut for a public holiday.
In an unprecedented move, Bursa Malaysia had a muted response, with the FTSE Bursa Malaysia KL Composite Index (FBM KLCI) dropping 3.4 points to 1,782.93.

Though the market made several attemps to climb higher during the day, it was not successful, as profit-taking selling in the quality issues was a drag.

At the final bell, the key index eased 2.67 points to 1,783.66 on Monday. The next day on Wall Street, the Dow had a record finish for the fifth consecutive session while the S&P set an all-time high for the second day in a row, led by banking shares.

But oil prices were barely changed amid worries about a built up in crude stockpiles.

In the region, with the exception of Japanese equities, which rallied nearly 2% on resumption of business after the long weekend, most markets slipped as investors moved to the sidelines ahead of a two-day US Federal Open Market Committee meeting.

On the domestic front, the local bourse mirrored the Asian peers and slide deeper into the negative zones on lack of support from investors.

Meanwhile, a weaker ringgit against the greenback weighed on the local sentiment.

As usual, blue chips topped the losers board on foreign selling. Elsewhere, most second and lower liners also struggled, with retail players heading to the sidelines.

In lacklustre trade, the FBM KLCI slide from an intra-day peak of 1,783.68 in early business to a low of 1,775.30 in late session before trimming losses slightly to close down seven points at 1,776.66 on Tuesday.

Thereafter, the bulls on Wall Street continued to set a series of records, boosted by a rally in financial stocks but in Asia, shares turned mixed to marginally lower in cautious mood as investors awaited signals from the US Federal Reserve policy meting on when it will hike rates again and start shrinking its balance sheet.

Pending a clearer picture to emerge, the local bourse stayed in correction mode due to limited support from the big boys while the retail investors remained on the sidelines.

In subdued session, the key index tested the downside of 1,770 points in late trade before bouncing off slightly to end 3.08 points lower at 1,773.58 on Wednesday.

As expected, the Fed left interest rates unchanged after a two-day meeting and although the Dow sustained rally into the uncharted territory and most regional markets firmed Bursa Malaysia extended the consolidation process, as jittery investors fret about the possibility of one more US interest rate hike by the end of the year and the withdrawal of about US$4.2 trillion in holdings of US Treasury bonds and mortgage-backed securities.

Petronas Gas and British American Tobacco topped declines, dragging the FBM KLCI down 2.54 points to 1,771.04 in another lacklustre session on Thursday.

Bursa Malaysia was shut for a public holiday yesterday.

Statistics: Week-on-week, the bellwether FBM KLCI skidded 15.29 points, or 0.9%, to 1,771.04 on Thursday, versus 1,786.33 on Sept 15. Turnover for the four-day holiday-curtailed week amounted to 10.402 billion units valued at RM8.329bil, compared with 13.126 billion shares worth RM10.766bil done during the previous regular week.

Outlook: Bursa Malaysia was in a correction mode the past week, with the FBM KLCI pulling further away from the recent three-month peak, as a futile attempt to penetrate the 1,800-point psychological barrier a week ago prompted investors to take some money off the table.

The more-hawkish-than-expected tone from Janet Yellen at the latest policy meeting and the plans to begin the unwinding of a decade of aggressive monetary stimulus added to the downbeat mood.

While a rate hike in the US is negative for risky assets, the Fed’s tightening plan may lead to capital outflows from the region and Malaysia may not be spared.

Combined with the latest move from US President Donald Trump ordering new sanctions on North Korea, tensions in the Korean Peninsula is likely to ratchet up and put more investors on the defensive mode.

In the absence of buying incentives on the horizon, the local bourse will probably extend the correction phase this week.

Based on the daily chart, the key index was only maintaining a slim three-point margin above the nine-month-old ascending trendline, resting approximately at 1,768 points. A breakdown from this trendline, if it happens, may see the FBM KLCI falling towards the 1,750-point floor on persistent liquidation.

Technically, indicators are looking very good too. While the weekly moving average convergence/divergence (MACD) histogram resumed the downward expansion against the weekly trigger line to retain the bearish signal, the daily MACD issued a sell call during intra-week trading, implying the local bourse is expected to be under pressure until a fresh bout of buying interest emerges.

Read more at http://www.thestar.com.my/business/business-news/2017/09/23/bursa-may-come-under-pressure/#JvJs9oWy8Ejh8qB0.99

Is another financial crisis just around the corner?

noreply@blogger.com (Alex Gray) — Sat, 16 Sep 2017 13:02:00 +0800

IT has been 10 years since the start of the Global Financial Crisis.

Psychologically, this is another factor which puts some fear into investors. How can a market sustain its uptrend without a correction once every 10 years?

In end-2007, triggered by a collapse in the US housing market it caused the deepest recession in living memory and the near-collapse of the financial system.

Banks failed, government institutions were bailed out, stock markets crashed and countries had to be propped up financially.

One of the most significant effects of the crisis has been the long and steady fall in bond yields.

Japanese, German and UK bond yields remain below 1%, which reflect investors’ view on the outlook for interest rates in those regions. US bond yields have climbed above 2% as the Federal Reserve has begun to raise interest rates.

However, the knock-on effect of central bank attempts to stimulate economies has sent stock markets charging back. US stocks have risen more than 260% since the crisis’ low point in March 2009. UK, European and Asian stocks are all up more than 150% in the same period.

Also, the VIX index, also known as the “fear gauge” is now at historically low levels, As governments and central banks intervened to stem the flow of the crisis the VIX subsided.

Confidence among investors grew. Schroders says that this indicates that investors see nothing on the horizon that will cause extreme market volatility.

“Low interest rates and the effect of money being pumped into the economy has benefited businesses and therefore the stock markets on which they are listed,” says Schroders.

Schroders fund manager and multi-manager Joe Le Jéhan says the key to navigating the financial crisis was being alive to the warning signals that were evident across markets in the preceding months.

“If we avoid significant losses, we should be in a position to take advantage of cheaper valuations when the opportunity arises, rather than nursing our wounds. We strongly believe that it’s this willingness to actively manage risk that allows investors to compound strong returns over the longer term,” he said.

Jehan said that during the financial crisis, this meant holding very few economically sensitive equities, avoiding areas like financials and using assets like government bonds to provide some upside as most things fell in value.

“While such a concentration on capital protection is vital at the end of all cycles, this cycle has been quite different. So, what we can use to protect portfolios this time may well also differ,”

“Government bonds – historically a more obvious safe haven – may not offer the same opportunity this time around. This is why it is worth looking at the few assets that look relatively under-valued and/or have the potential to protect should markets enter another stormy patch.

He said that these assets might include cash to help dampen volatility and provide that option to invest at cheaper levels when the buying opportunity returns. The other asset to look at is gold, which also has the ability to make money should equity markets fall.

Read more at http://www.thestar.com.my/business/business-news/2017/09/16/is-another-financial-crisis-just-around-the-corner

Rules for investing

noreply@blogger.com (Alex Gray) — Wed, 6 Sep 2017 14:17:00 +0800

THINKING about the importance of “practice what you preach” and “put your money where your mouth is”, I wanted to share a few rules I follow, when I invest the little savings I have.

These tips will not allow you to outperform the market, but will give you the best return at a low risk and at a low cost, in line with the market.

Doesn’t sound too impressive? It is actually better than the returns the vast majority of “active traders” and fund managers are able to maket.

Time in market, not timing the market

It is impossible to time the market. The only sustainable, long-run strategy is to stay in the market for a long, uninterrupted time. This is why I only invest with money that I am fairly certain I don’t need for at least the next five years.

However, investing your money over the time it takes to raise your children from babies to 18 year olds is a much better time horizon.

You can’t outsmart the market

Every transaction has a buyer and a seller, both think they are making a profitable decision.”

Be aware of cognitive dissonance, the confirmation bias, your optimism and your confidence in your own investment skills. For every person that outperforms the market, there must be someone who underperforms the market too.

The number of “experts” who consistently outperform the market for an extended period of time is increasingly small. There is no way to know in advance which fund or fund manager is that ‘expert’, because they are lucky, not talented.

This means I favour a boring, passive investment strategy, instead of an active one. Bonus: it costs much less of my time.

Small costs add up over time

I hate transaction costs and I don’t believe in paying a yearly management fee of up to 1% or 2% to a fund manager who claims he can outperform the market. I therefore buy ETF trackers, exchange-traded funds.

An ETF simply copies an index, such as the Dow Jones or the S&P 500. ETF’s are very liquid because they are traded on stock-exchanges, similar to stocks.

Because copying an index doesn’t require “rock star” fund managers – and ditto their exorbitant salaries – management fees for ETF’s that track indices are as low as 0.10%.

Though both fees might seem like small figures, the power of compound interest combined with my investment horizon creates a huge impact at the end of the line.

Don’t put all your eggs in one basket

Diversification of assets is a key ingredient for any robust portfolio. If some industry, geography or asset class is going down, another one is going up, which protects my portfolio from losing value.

That’s why I don’t believe buying a (second) property as an investment is a wise investment for Malaysia’s middle class.

It puts a large share of your assets in a single piece of real estate and makes it quite illiquid. Do make sure your eggs have as little correlation as possible with each other: you don’t want everything to move in the same direction.

In order to diversify, I invest (through ETF’s) in emerging markets and developed markets, Europe and Japan, gold, real estate and bonds.

Read more at http://www.thestar.com.my/business/business-news/2016/09/03/rules-for-investing/#TwIQMzyPFtrywiuy.99

Gold Is At Sweet Spot For Continued Buying On Dips

noreply@blogger.com (Alex Gray) — Wed, 31 May 2017 15:16:00 +0800

Its short term target is to break up $1300. It mid term target is to go into $1400 zone. Its mid-long term target is to hit $1550 critical resistance before consolidation at $1450 region to build a support for a rally to break out $1900-$2000 upwards. Gold remains as a buy-on-dip with a target of all time historic new high of more than $1900-$2000.

Gold futures for June delivery on the Comex division of the New York Mercantile Exchange fell 0.16% to $1,260.11

Overnight, gold retreated from a one-month high, despite an increase in safe haven demand amid ongoing geopolitical concerns in Europe while hawkish comments concerning U.S. interest rates from a top Fed official capped upside momentum.

Gold prices dipped at the start of European trade on Tuesday, as concerns about geopolitical uncertainty in Europe eased somewhat, following the release of the ICM poll for The Guardian, showing the Conservative Party held a healthy lead of 45% compared to Labour's 33%, ahead of the general election scheduled for June 8.

Gold is sensitive to moves higher in both U.S. rates and the dollar – A stronger dollar makes gold more expensive for holders of foreign currency while a rise in U.S. rates, lift the opportunity cost of holding non-yielding assets such as bullion.

There's No Recession, but a Market Correction Could Cause One

noreply@blogger.com (Alex Gray) — Wed, 10 May 2017 14:33:00 +0800

Before last Friday’s employment release, some pessimistic observers feared a recession was near. The latest GDP release from the BEA showed real output growth slowed to a crawl in the first quarter, rising at an annual rate of only 0.7 percent. And that followed the report on March employment that had shown an abrupt slowdown in job growth. Alongside this economic news, the previously soaring stock market levelled off.

But the fear among pessimists of a looming recession, which was never convincing, was put to rest by last Friday’s employment report showing 211,000 net new jobs in April, and a very healthy average monthly job growth of 185,000 over the first four months of the year.

As a simple summary of the economic expansion’s health, we should accept the above trend growth in employment over the nearly flat real GDP growth. And as a general rule, we should prefer job growth over real GDP growth as a measure of overall economic activity because he GDP estimates may not accurately correct for seasonal variations and may not properly capture the changing composition and pricing of what we produce and consume.

Going behind the aggregate data, there have been few signs of an overall weakening in the economy. Though some sectors, such as autos, are softening, others, such as defense, construction and many services, are still growing steadily. And the global economy is now less of a drag on the U.S. than it has been. Until recently, weak growth abroad weighed on the U.S. expansion through the exchange rate and trade channels. In recent weeks, the dollar appreciation has stopped. And the present IMF forecasts for 2017 include continued better growth in Europe despite the uncertainties of Brexit and the immigration turmoil, and continued rapid expansion in the emerging market economies. Janet Yellen recently testified that the Fed believes the slowdown in GDP growth is temporary and that it expects to stay on its course of raising policy interest rates further during 2017.

Even if the expansion is presently healthy, it has already lasted 8 years, which is old by historical standards. And even before the unemployment rate dropped to April’s 4.4 percent, many analysts believed the economy had reached full employment, which would limit the potential for further economic expansion. But estimates of how far a healthy expansion can go are highly uncertain. The economy’s growth potential is somewhat greater than many had thought. Through much of the present expansion, labor force participation rates declined faster than demographics alone would predict. In recent quarters, as job markets have tightened, the decline in participation has ceased. Furthermore, there is mixed evidence from recent decades about how low unemployment can go without generating accelerating inflation. The Fed is alert to both sides of its mandate, and the fact that it is not raising rates further now but still expects to do so during 2017 indicates it sees and welcomes continued expansion in the economy.

Do these economic prospects tell us anything useful about the stock market and do stock market prices inform our forecasts for the economy? The economy and the stock market affect each other in many ways. A strong expansion raises profits and opportunities for new investment. A rising stock market increases wealth and the optimism of both consumers and businesses. All these connections occur with variable lags. And, in general, market declines do not cause economic declines. But a big market drop could affect wealth and expectations enough to noticeably depress the economy. And some observers reason the surge in the importance of ETFs as a way of participating in the stock market could magnify downward shocks for many investors and, in turn, have more effect on the economy. While mutual funds attracted mainly long term investors, ETFs attract investors who are more likely to trade actively.

The great bull market of the 1990s ended when what we now call the dot-com bubble finally popped. Today, the prices of social media stocks and others related to the Silicon Valley industries (FANG is shorthand for four dominant firms in this category, Facebook, Apple, Netflix and Google), have risen to levels that resemble the star stocks of that earlier boom. Because of their success in the stock market, these high flying stocks are heavily weighted in ETFs indexed to a broad stock average or to growth or high tech stocks. The fear is that, if a correction starts in these stocks, the rush of selling by ETF investors could greatly steepen the stock price decline.

Would that be enough to push the economy into recession? It did in 2001 and the damage would likely be greater in today’s market.

Source: http://www.realclearmarkets.com/articles/2017/05/09/theres_no_recession_but_a_market_correction_could_cause_one_102676.html

TECH TARGETS: EUR/USD, GBP/USD, USD/JPY, AUD/USD, NZD/USD – UOB

noreply@blogger.com (Alex Gray) — Thu, 23 Mar 2017 19:34:00 +0800

EUR/USD: Neutral: Odds for a move above 1.0870/75 are not high.

The 1.0825/30 level that we have talked about since Thursday was finally met with an overnight high of 1.0825. Shorter-term upward momentum is slowing down and while a move above 1.0825/30 would not be surprising, the odds for a break above last December high of 1.0870/75 are not high. Support is at 1.0745 but only a move back below 1.0715 would indicate that a short-term top is in place.

GBP/USD: Bullish: To take half-profit at 1.2545/50.

GBP hit an overnight high of 1.2507 before closing on a strong note. The bullish phase that started on Monday is still intact. However, from a shorter-term perspective, the rally appears to be running ‘too fast, too soon’ and those who are long should look to book half-profit at 1.2545/50, just below the 1.2570 high seen in late February. Stop-loss is unchanged at 1.2340.

AUD/USD: Neutral: In a 0.7600/0.7730 range.

There is not much to add as we continue to view the current movement as part of a 0.7600/0.7730 consolidation phase even though the immediate bias is for a probe lower towards the low end of the expected 0.7600/0.7730 range. Looking further ahead, as long as there is no sustained drop below 0.7600, we expect the current consolidation to be resolved to the upside.

NZD/USD: Neutral: In a 0.6950/0.7090 range.

As highlighted yesterday, NZD has likely made a short-term top at 0.7090 earlier this week. The current price action is viewed as part of a consolidation phase that could last for several days. Overall, expect sideway trading from here, likely between 0.6950 and 0.7090.

USD/JPY: Neutral: No signs of stabilization just yet.

While we expected USD to extend its decline towards 111.05/10, the pace of the drop and the ease of which this level is taken out came as a surprise (overnight low of 110.71). Despite being severely oversold, there is no sign of stabilization just yet and further weakness towards the psychology level of 110.00 is not ruled out. Overall, this pair is expected to stay under pressure unless it can move above stay above 112.50.

SEA market ready to rate hike ahead of Fed meeting

noreply@blogger.com (Alex Gray) — Tue, 7 Mar 2017 19:11:00 +0800

Southeast Asian stock markets ended little changed in dull trade on Tuesday as investors were cautious ahead of a widely expected interest rate hike by the U.S. Federal Reserve next week amid concerns about President Donald Trump's economic policies.

Fed Chair Janet Yellen has signalled that the central bank might raise interest rates at its next meeting on March 14-15, and may move faster after that than it has in years.

After Janet Yellen's speech last week, the market will be ready for a rate hike when the U.S. Federal Reserve meets next week unless this Friday's jobs report is a disaster.

Consumer prices rose 3.3 percent but was within the range the central bank had expected, the statistics agency said.

Singapore shares rose after two sessions of falls, buoyed by financials and industrials. Real estate company CapitaLand Ltd gained 2.3 percent, while automotive conglomerate Jardine Matheson Holdings Ltd climbed 0.6 percent.

SGX & KLCI TRADING CALLs for Today

noreply@blogger.com (Alex Gray) — Wed, 22 Feb 2017 14:32:00 +0800

SGX TRADING CALL

#BUY CAPITACOM TRUST AT 1.560 TGT 1.600 SL 1.520
#BUY GENTING SINGAPORE AT 0.980 TGT 1.015 SL 0.945
KLCI TRADING CALL

#BUY BTM AT 0.315 TGT 0.355 SL 0.275
#UPDATE: MUHIBAH MDE HIGH OF 2.560 OUR TARGET MADE HIGH OF 2.560 OUR TARGET ACHIEVED. KINDLY BOOK PROFIT IN IT
If you want to look more calls or signals like that Register NOW

KLCI INTRADAY CALL on BTM RESOURCES BHD

noreply@blogger.com (Alex Gray) — Tue, 21 Feb 2017 20:06:00 +0800

BUY BTM AT 0.315 TARGET 0.355 SL 0.275

Date	Open	High	Low	Close	Volume	VWAP
21 Feb 2017	0.295	0.325	0.295	0.310	5,447,000	0.3129
20 Feb 2017	0.295	0.300	0.295	0.295	219,500	0.2980
17 Feb 2017	0.295	0.295	0.295	0.295	261,500	0.2950
16 Feb 2017	0.295	0.300	0.295	0.295	262,000	0.2960
15 Feb 2017	0.305	0.305	0.295	0.300	341,600	0.3008
14 Feb 2017	0.290	0.305	0.290	0.305	1,022,800	0.2982

Buy Call of GBP/USD Made a Profit of $400

noreply@blogger.com (Alex Gray) — Tue, 16 Aug 2016 19:57:00 +0800

BUY GBP/USD AT THE LEVEL OF 1.2950 WITH SL OF 1.2920 FOR THE TP OF 1.2990 (CMP 1.2938) 16-08-2016 13:57:38

 TP HIT IN GBP/USD LONG CALL.

our Buy call of GBP/USD made a Profit of $400. 

HOPE YOU BOOKED PROFIT ON OUR CALL.....

GET MORE CALL LIKE THIS http://goo.gl/forms/Q0YyGRfrHU

1MDB: Goldman Sachs faces suit over ties to Malaysian fund

noreply@blogger.com (Alex Gray) — Wed, 27 Jul 2016 19:43:00 +0800

Goldman Sachs has been sued by a shareholder of one of its former clients over alleged fraudulent misrepresentations that involve links to the prime minister of Malaysia.
Primus Pacific Partners, a private equity firm and the largest shareholder in Malaysian bank EON Capital, filed suit against Goldman for $510 million for fraud and breach of fiduciary duty, according to a statement released Tuesday.
The suit claimed that Goldman Sachs concealed a conflict of interest involving Malaysian Prime Minister Najib Razak while the investment bank was acting as financial adviser to EON, which was weighing a takeover bid by Hong Leong Bank. Talks on the deal reportedly began in 2009, but the bid was held up until 2011 as Primus fought the offer in Malaysia's courts.
One of the prime minister's brothers, Nazim Razak, was a director at Hong Leong Bank, while another brother, Nazir Razak, was chairman of CIMB Group, which advised Hong Leong Bank on the bid.

At the same time as it was advising EON, Goldman was an adviser to 1Malaysia Development Berhad, also known as 1MDB, a development fund established by the prime minister, the lawsuit noted.
Primus claimed that Goldman first called the Hong Leong bid "unfair," only to reverse course weeks later. According to the suit, the final price of the merger was "hundreds of millions of dollars below fair value," but the reversal may have furthered Goldman's role as adviser to 1MDB. The original complaint can be read here.
In a statement in response to the suit, Goldman Sachs pointed out that Primus had already failed to block the deal.
"This plaintiff previously lost its challenge in the Malaysian courts seeking to stop a transaction involving a Malaysian company, which was then approved by shareholders," the investment bank said. "We will vigorously contest this misguided additional lawsuit in New York court."
After the court decision in 2011, Dow Jones reported that Primus faced a "significant loss on its investment" in EON if the takeover by Hong Leong Bank took place.

The office of Malaysia's prime minister and 1MDB did not immediately respond to emailed requests for comment.
The suit comes as 1MDB faces international regulatory scrutiny over accusations that its funds were misappropriated. U.S. prosecutors sued last week to seize more than $1 billion in assets they said were tied to a scheme to launder money stolen from the fund.
Questions about movement of funds from 1MDB gained attention about a year ago, when The Wall Street Journal reported that in 2013 nearly $700 million had flowed from the fund to Malaysian Prime Minister Najib Razak's personal bank account.
Najib has repeatedly denied wrongdoing and, under pressure from the outcry caused by the WSJ report, said the funds were not from 1MDB but were a private donation from a Middle Eastern country he declined to name. He has denied benefiting personally from the funds.
In January, Malaysia's Attorney General Mohamed Apandi Ali said that Saudi Arabia's royal family gave Najib a $681 million gift, of which Apandi said about $600 million was later returned.
Apandi said that no criminal offense had been committed. But globally, investigations into 1MDB in locales as varied as U.S., Switzerland, Singapore and the Seychelles have continued.
This month U.S. prosecutors said they were seeking to seize more than $1 billion of assets tied to an international conspiracy to launder funds funneled away from 1MDB, marking the biggest action ever taken under the Kleptocracy Asset Recovery Initiative.
In a statement, the Department of Justice said officials at 1MDB, their relatives and other associates diverted more than $3.5 billion from the state fund and laundered it through complex transactions and shell companies with bank accounts in Singapore, Switzerland, Luxembourg and the U.S.
Some of the laundered funds allegedly flowed into production of the 2013 film "The Wolf of Wall Street," a film about a corrupt stockbroker, that was banned from playing in Malaysia for being too risqué.
The film's producer, Red Granite Pictures, was co-founded by Najib's stepson Riza Aziz. Riza was named as a "relevant individual" in the DOJ complaint, but Najib wasn't named in the U.S. prosecutor's complaint.
However, the Wall Street Journal reported, citing a person with direct knowledge of the investigation, that the complaint's 32 references to "Malaysian Official 1," who allegedly received hundreds of millions from 1MDB, were a reference to Najib.
At the time, the Najib's office said in a statement, "As the Prime Minister has always maintained, if any wrongdoing is proven, the law will be enforced without exception."
Red Granite last week said in a statement that it continued to "cooperate fully" with all investigations and that "when the facts come out, it will be clear that Riza Aziz and Red Granite did nothing wrong."
Separately this week, the New York Times reported that the Federal Reserve is preparing an enforcement action against Goldman Sachs related to confidential government information which was leaked by a Fed employee to a junior Goldman banker who was a former Fed employee.

The report noted that a Goldman spokesman said in a statement that the bank had already "reviewed our policies regarding hiring from governmental institutions and have implemented changes to make them appropriately robust."

—CNBC's Kate Kelly contributed to this report.
Link: http://www.cnbc.com/2016/07/26/1mdb-goldman-sachs-faces-lawsuit-over-ties-to-malaysian-fun.html

KLCI Malaysia Market Review & Tomorrow Forecast

noreply@blogger.com (Alex Gray) — Tue, 26 Jul 2016 20:06:00 +0800

The FBM KLCI index lost 6.84 points or 0.41% on Tuesday. The Finance Index fell 0.18% to 14175.85 points, the Properties Index dropped 0.29% to 1161.52 points and the Plantation Index down 0.48% to 7563.36 points. The market fluctuated between a high of 1666 and low of 1660 throughout the trading session on Tuesday. The KLCI extended its mid-day losses by ending lower at 1661.42 points amid overnight losses in US market. The performance of our benchmark index was bogged down by selling in heavyweight counters such Genting, KLCC and SapuraKencana. Top 5 Stocks for Tomorrow

Market forecast for KLCI:

The FBMKLCI opened at the level of 1666 on Tuesday and closed in the red at level of 1661. The trading session on Tuesday saw a low of 1660;

The market traded within a range of 6.48 points between an intra-day high of 1666.99 and a low of 1660.51 during the session.

Market moved side ways as the two day U.S. Federal Reserve's meeting started on Tuesday along with Bank of Japan supposed to happen on coming Friday. Fed meeting had an impact on the market as traders would be cautious before entering the market and would wait for the results to be announced. Expecting less movement in the market it could breach the support level of 1657 and come down to the level of 1647.

KLCI COUNTER SPECIFIC NEWS :

Bank Islam Malaysia Bhd has inked an agreement with Perbadanan Wakaf Selangor subsidiary Urus Maju Ehsan (M) Sdn Bhd (UME) to provide RM15.5 million in financing for two waqf land development projects in Klang, Selangor.
Felda Global Ventures Holdings Bhd (FGV) saw its share price surge 5.06% yesterday after news of it aborting plans to acquire a stake in Indonesia's PT Eagle High Plantations Tbk.
YTL Corp Bhd has proposed to take its information technology unit, YTL e-Solutions Bhd, private at 55 sen per share through a voluntary share exchange offer. This will enable YTL e-Solutions shareholders to exchange their stake in the company for shares in YTL Corp.
Wah Seong Corp Bhd’s order book replenishment rate despite the US$18.23 million (RM73.87 million) pipe shipping and related services contract win.

GLOBAL FACTORS AND WORLD INDICES:
Hong Kong stocks rallied Tuesday thanks to a surge in casino shares, while investors await key central bank meetings in the United States and Japan. Hang Seng Index rose 0.62 per cent, or 136.29 points, to end at 22,129.73.
Tokyo shares slumped for a third session Tuesday as a yen rally and worries about a global oil supply glut hit sentiment ahead of US and Japanese central bank meetings. Nikkei 225 index dropped 1.43 per cent, or 237.25 points, to close at 16,383.04
Wall Street opened slightly lower on Monday as investors braced for another set of corporate earnings and awaited the Federal Reserve's monetary policy meeting.
Gold inched up early Tuesday as the dollar slipped and equities eased ahead of central bank meetings in the United States and Japan this week.
The dollar index, which tracks the greenback against a basket of six major rivals, edged down 0.1 percent, below the previous session's high of 97.569, its loftiest peak since March.
Oil were down again on Monday as investor concerns about a supply glut showed no sign of letting up.
Crude lost US$1.06 sinking to US$43.13, its lowest level in three months.
Brent crude hit its lowest price since May, sinking 97 cents to US$44.72.

Weekly Wrap of KLCI And Forecast for Week Ahead

noreply@blogger.com (Alex Gray) — Fri, 8 Jul 2016 19:43:00 +0800

Overall week it was observed low volume in the market as we had only two and a half trading days. As we had two festive days in the week traders avoided to enter the market and hold positions. Week constituted one bullish and 2 bearish days. Market ended with a closing of 1644 and in the red.

Top 10 Stocks

Forecast for week ahead:

After one bullish closing we had two bearish closing days in the entire week, we observed a bullish candle on the last trading day. In the final session of the week market closed at the level of 1644. Volume has been on the lower side throughout the week because of the two festive days. In the coming market is expected to make a rounding bottom pattern and if it completes the pattern , it is expected to test the resistance level of 1663 and if it breaches this level it is expected to go up and test the second level of 1675. On the other side if it breached the support level of 1637 it is expected to go further down to the level of 1617.

Sup 1	Sup 2	Sup 3	Res 1	Res 2	Res 3
1637	1617	1600	1663	1675	1688

Technical indicators:

RSI for this week is 45.524 with CCI at -43.181 Besides, difference line of MACD -11.723.

Counter-Specific News:

AmInvestment Bank Bhd bagged the “Project Finance House of the Year” and “Best Transport Deal” awards for the second consecutive year at The Asset Triple A Asia Infrastructure Awards 2016.
Maybank IB Research said the potential sale of Hong Leong Assurance (HLA) and Hong Leong MSIG Takaful (HLMT) could raise about RM3.2 billion for Hong Leong Financial Group (HLFG), said.
Mah Sing Group Bhd will be launching the final tower of Lakeville Residence here on July 16 and 17, which will bring the RM1.5 billion development to its targeted completion by 2020.
Tropicana Corp Bhd’s disposal of land in Gelang Patah will reduce the group’s exposure in Johor and lock in a net gain of RM55.5 million, said Affin Hwang Capital.

Global factors and World Indices:

Hong Kong stocks fell on Friday, tracking losses in Shanghai shares, on fears of further weakness in the yuan and worries that Britain's decision to leave the European Union could destabilise one of China's biggest export markets. Hang Seng Index fell 0.7 per cent to 20,564.17 points.
Tokyo stocks closed in the red Friday, their fourth straight loss as an early rally fizzled. Nikkei 225 index slumped 1.11 per cent, or 169.26 points, to end at 15,106.98.
Asian markets fell Friday morning, at the end to a volatile week dominated by the fallout from Britain's European Union exit, with investors now turning their attention to the release of US jobs data.
The US dollar gained on the euro but slipped against the yen Thursday as investors waited to see if the coming US June jobs report shows a rebound from May's sharp downturn.
Oil prices dived Thursday after US inventories fell less than expected last week, adding to market concerns about abundant global supplies.
Crude tumbled US$2.29 to US$45.14 a barrel, its lowest price in nearly two months.
Brent finished at US$46.40 a barrel, down a hefty US$2.40 from Wednesday's settlement.
Gold headed for the longest run of weekly gains in two years, bolstered by the uncertainty surrounding the UK's vote to leave the European Union, with investors turning their attention to a monthly US jobs report.

Malaysia Market: Companies That May Be In Focus On Friday

noreply@blogger.com (Alex Gray) — Wed, 6 Jul 2016 20:21:00 +0800

Based on corporate announcements and news flow today, companies that may be in focus on Friday (July 8) could include: Bertam, Guocoland, TH Heavy, Melewar, Halex, Goldis and ML Global.

TOP 5 Stocks to Buy Tomorrow

Bertam Alliance Bhd is selling two parcels of freehold land at Batu 9, Cheras, with a collective land size of 47,930 sq m (11.8 acres) to a unit of Guocoland (Malaysia) Bhd, for RM128 million.

Bertam announced to Bursa Malaysia today that it expects to recognise a RM79.84 million disposal gain arising from the land deal.

The sale was effected through Bertam's unit MV Properties Sdn Bhd, which inked a sale and purchase agreement with Tujuan Optima Sdn Bhd, Guocoland's subsidiary.

The land's audited net book value (NBV) was RM42.96 million as at Dec 31, 2015 (FY15). It was valued at RM125.11 million, as appraised by independent valuer DTZ Nawawi Tie Leung Property Consultants Sdn Bhd, on March 19, 2016.

The proceeds will be utilised for borrowings repayments and working capital. Upon that, the group should have zero gearing and enjoy an interest cost savings of about RM7.3 million a year based on the effective rate of 6% to 8.6% per annum.

The company has accumulated losses of RM38.51 million, while total borrowings stood at RM103.87 million as at Dec 31, 2015 (FY15).

Meanwhile, Guocoland intends to fund the deal fully by cash via internally generated funds and/or bank borrowings.

Guocoland does not need to seek approval from its shareholders for the land purchase. But Bertam need shareholders' approval for the sale.

TH Heavy Engineering Bhd (THHE) was slapped with two winding-up petitions from its creditors for a collective sum of US$8.88 million (RM35.6 million) in relation to the supply of equipment and work done at the floating production, storage and offloading (FPSO) Layang project.

In separate bourse filings today, THHE said the first petition was by MIB Orwell Offshore Ltd and was presented on June 30 to the Kuala Lumpur (KL) High Court. A copy of the petition was served to THHE on July 4.

It said the petitioner is claiming US$7.61 million for the supply of equipment and machinery for the FPSO Layang project, and the case management for the petition has been fixed on July 20.

The second petition is by MIB Italiana SPA and was presented to the KL High Court on July 1; a copy of it was also served to THHE on July 4.

THHE said the second petitioner is claiming US$1.27 million for the supply and installation of quick release hook and mooring hawser for the same project. Case management for this petition has been set on July 15.

THHE said it has sought necessary legal advice on both matters with a view of defeating the petitions altogether, adding that the petitions would not have any additional financial and operational impact on the group.

Melewar Industrial Group Bhd has decided to drop its appeal against MyCC's finding that Megasteel Sdn Bhd did not abuse its dominant position or practise anti-competition margin squeeze in the cold rolled coil market.

Megasteel's lawyers have been informed today that Melewar had, on June 21, withdrawn the appeal with no objection from MyCC, which stands for the Malaysian Competition Commission, according to a bourse filing by Melewar's parent company, Lion Corp Bhd.

Lion Corp, which owns 79.89% of Megasteel, said following Melewar's withdrawal, the case against Megasteel is now 'closed' and that MyCC's finding of non-infringement of the Competition Act 2010 by Megasteel is 'final'.

Halex Holdings Bhd's executive director and chief executing officer (CEO) Chan Yee Keen has decided not to renew his employment contract upon expiry of the contract on Sept 30.

According to its filing with Bursa Malaysia today, Halex said Chan, 45, had informed that he would like to pursue his own personal interests after fulfilling his contract with the company.

He was appointed as the group's executive director and CEO on Oct 1, 2015.

"The board meanwhile would be taking steps to engage a replacement and an appropriate announcement would be made in due course," it said.

Goldis Bhd has declared a first interim dividend of two sen per share for the financial year ending Dec 31, 2016, to be paid out on Aug 12.

The company announced to Bursa Malaysia that the ex-date for the dividend will be on July 22.

"Holders of Redeemable Convertible Cumulative Preference Shares (RCPS) are reminded to lodge with the registrar of the company, Tricor Investor & Issuing House Services Sdn Bhd, their conversion forms by 5pm on or before July 14, 2016, in order to be entitled to the first interim dividend," the filing read.

ML Global Bhd has redesignated its non-independent director Tan Sri Lim Hock San as its managing director (MD), replacing Beh Hang Kong who was redesignated as executive director, effective today.

The boardroom changes came after LBS Bina Group Bhd, an entity controlled by Lim, gained control of ML Global with an equity stake of 50.92%.

Beh has been MD at ML Global since Jan 16, 2008. He has been appointed as executive director at Yong Tai Bhd since Jan 15, 2016.

Meanwhile, ML Global also redesignated its non-independent director Datuk Wira Lim Hock Guan as its executive director.

Source: theedgemarkets

EURCAD‬: CAN GO ANY SIDE

noreply@blogger.com (Alex Gray) — Thu, 30 Jun 2016 15:31:00 +0800

#‎EURCAD‬: CAN GO ANY SIDE (‪#‎FOREX‬ ‪#‎SIGNAL‬)

 ‪#‎Buy‬ EURCAD at 1.4380 for Target Price 1.4440 and Stop/Loss 1.4355

 ‪#‎Sell‬ EURCAD Bellow 1.4360 for 100 ‪#‎Pips‬ +/-

 Get More Signals @ FOREX CALL TO WATCH 

Malaysia Inflation Rate at 13-Month Low

noreply@blogger.com (Alex Gray) — Sat, 18 Jun 2016 17:25:00 +0800

Consumer prices in Malaysia rose 2.0 percent year-on-year in May of 2016, compared to a 2.1 percent gain in April and matching market estimates. It was the lowest inflation figure since April 2015 as prices of food and housing & utilities eased while cost of transport fell further.

Live Trading Signals

Year-on-year, prices moderated for: food & non-alcoholic beverages (+4.1 percent in May from +4.2 percent in April); housing, water, electricity, gas & other fuels (+2.2 percent from +2.6 percent); furnishing, household equipment & routine maintenance (+2.2 percent from +2.6 percent); health (+2.0 percent from +2.2 percent); recreation services & culture (+1.5 percent from +1.6 percent), restaurants & hotels (+2.5 percent from +2.7 percent) and miscellaneous goods & services (+2.5 percent from +2.6 percent). Price rose at a faster pace for: alcoholic beverages & tobacco (+22.1 percent from +20.1 percent) and education (+2.2 percent from +2.1 percent). In contrast, cost declined for clothing & footwear (-0.9 percent from -0.7 percent), transport (-5.6 percent from -5.5 percent) and communication (-2.2 percent from -2.1 percent).

Calendar	GMT	Reference	Actual	Previous	Consensus	Forecast
2016-04-20	4:00 AM	Mar	2.60%	4.20%	3.60%	3.70%
2016-05-20	4:00 AM	Apr	2.10%	2.60%	2.20%	2.20%
2016-06-15	4:00 AM	May	2.00%	2.10%	2%	2.20%
2016-07-20	4:00 AM	Jun		2%		2.30%
2016-08-24	4:00 AM	Jul				2.60%
2016-09-21	4:00 AM	Aug				2.40%

Among food & non-alcoholic beverages, customers had to pay more for: food (+4.2 percent in May from +4.4 percent in April); food at home (+4.6 percent from +4.6 percent); rice, bread & other cereals (+0.9 percent from +0.9 percent); meat (+0.3 percent from +0.5 percent); fish & seafood (+6.6 percent from +8.4 percent); milk & eggs (+1.1 percent from +0.1 percent), oils & fats (+0.4 percent from +0.4 percent), fruits (+6.1 percent from +7.3 percent); vegetables (+15.3 percent from +12.5 percent); sugar, jam, honey, chocolate & confectionary (+1.8 percent from +2.1 percent); food products (+5.3 percent from +4.9 percent) and food away from home (+3.6 percent from +3.9 percent) and coffee, tea, cocoa & non-alcoholic beverages (+0.6 percent from +1.0 percent).

Forecast	Actual	Q2/16	Q3/16	Q4/16	Q1/17	2020	Unit
Inflation Rate	2	2.3	3.1	3.3	3.4	3.47	percent

Core consumer prices rose by 2.1 percent year-on-year in May, slowing from 2.3 percent in the preceding month.

On a monthly basis, consumer prices rose 0.3 percent, after gaining 0.4 percent in April. Upward prices pressure came from: food & non-alcoholic beverages (+0.3 percent), alcoholic beverages & tobacco (+0.1 percent), housing, water, electricity, gas & other fuels (+0.5 percent), health (+0.1 percent), recreation services & culture (+0.1 percent), restaurants & hotels (+0.2 percent) and miscellaneous goods & services (+0.2 percent). In contrast, prices declined by 0.1 percent for clothing & footwear. Prices remained unchanged for: furnisshing, household equipment & routine maintenance, transport, communication and education.

Source: http://www.tradingeconomics.com

Market forecast for KLCI 25 May

noreply@blogger.com (Alex Gray) — Tue, 24 May 2016 18:31:00 +0800

The FBM KLCI closed in the red at the level of 1625, leaving the entire body within the limits of the previous days candle. In-spite of the bearish performance of the index, select counters did perform today giving the traders a chance to go bargain hunting. Upper ceiling for tomorrow would be around1634 and a lower level would be at 1621. We do expect counters that gave breakouts today supported by volume to sustain their up-trend and go higher. Stocks to sell tomorrow

KLCI COUNTER SPECIFIC NEWS :

Felda Global Ventures Holdings Bhd slipped into the red in its first quarter ended March 31, 2016 (1QFY16) with a net loss of RM65.54 million, compared with a net profit of RM3.58 million a year ago, primarily on lower crude palm oil (CPO) production in its palm upstream segment.
Hong Leong Financial Group Bhd reported a 13% drop in its third quarter net profit from a year earlier as net interest and non-interest income declined.
Affin Holdings Bhd net profit in its first quarter of the fiscal year ending Dec 31, 2016 (1QFY16) surged by 284.13% to RM115.57 million, from the previous corresponding quarter’s RM30.09 million, owing mainly to lower allowance from loan impairment and higher loan recoveries.
Hong Leong Financial's 3Q net profit down 13% on year at RM315m.
Felda Global's 1Q net loss at RM66m vs RM4m net profit a year earlier.
Dayang Enterprise Holdings Bhd, which is keen to maintain the listing status of its subsidiary, Perdana Petroleum Bhd, will divest at least 25% of the group's total stake.
KUB Malaysia Bhd business realignment strategy to further enhance its operations has already yielded positive results over its past full financial year.

GLOBAL FACTORS AND WORLD INDICES:

Asian stock markets fell in thin trading today, as oil prices deflated energy shares, while Singapore said it was kicking out a Swiss bank linked to Malaysia's 1MDB.
Hong Kong shares finished up today despite a fall in mainland indexes.The Hang Seng index rose 0.1 per cent, to 19,830.43, while the China Enterprises Index was flat at 8,306.56 points.
China stocks closed lower today as resources firms were hit by slumping commodity prices amid worries over China's economic health.
European shares slipped lower today, as the prospect of a possible US interest rate increase in coming weeks knocked back global stock markets.The pan-European FTSEurofirst 300 and STOXX 600 indexes both fell 0.5 per cent in early session trading.
Tokyo shares slipped for a second straight session today as lower oil prices hurt sentiment, with investors now eyeing a G7 leaders' summit in Japan this week.
Australian shares were down for a second day in subdued trade today, as falling oil prices pressured energy firms although miners proved resilient to more weakness in iron ore.
Gold held a four-day decline as more Federal Reserve officials weighed in with comments that supported the case for higher borrowing costs, strengthening the outlook for the dollar and denting the metal's allure.
Oil prices fell in thin trade today as the US dollar strengthened, but losses were curbed by a likely draw down in U.S. crude and gasoline stockpiles.

KLCI Will Rose on Tuesday- Malaysia Stock Market Forecast

noreply@blogger.com (Alex Gray) — Mon, 23 May 2016 18:50:00 +0800

The FBMKLCI closed in the positive at a level of 1634 with a low of 1621 during the day. if the traders take a cue from the bullish closing we saw today; a move above the level of 1637 should see a closing around the level of 1645. A bearish move is expected to fall till 1611. Tomorrow Stocks

Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew told theedgemarkets.com over telephone that the KLCI's gain "was supported by bargain hunting by some investors".

According to him, the KLCI's recent fall had spurred bargain-hunting activity among investors on selected blue chips. "Investors are buying into technology-related stocks (due to weakening ringgit) and construction-related stocks," Pong said.

KLCI COUNTER SPECIFIC NEWS :

Malaysia Airlines Bherad is adding two new Airbus A350-900s with Air Lease Corporation (ALC) which will be delivered in 2018.
EG Industries Bherad has secured a US$36mil (RM146mil) contract to be the sole manufacturer for Flic, the world’s first wireless smart button that creates a short-cut to favourite actions on mobile devices.
CIMB Bank Bherad and Credit Guarantee Corporation Malaysia Bherad (CGC) have signed a memorandum of understanding (MoU) to add another RM750mil to the existing RM250 million.
Enterprise Clean Loan (ECL), as part of a joint initiative to nurture and develop Malaysian Small and Medium Enterprises (SMEs).

GLOBAL FACTORS AND WORLD INDICES:

Asia's benchmark stock index rebounded from four weeks of losses as Chinese and Taiwanese shares gained while Japanese equities pared a steep loss.
China stocks edged higher,Blue-chip CSI300 index rose 0.3 per cent, to 3,087.22, while the Shanghai Composite Index gained 0.6 per cent, to 2,843.65 points.
Hong Kong shares gave up initial gains and ended Monday flat, reflecting continued investor caution amid worries about China's economy and a possible US interest rate hike next month.
Malaysian shares ended higher on Monday with the Kuala Lumpur Composite Index up 6.1 points to close at 1,634.89.
Oil prices dipped in Asia Monday after Iran said it has no plans to join any output freeze by other major crude producers.
Gold rebounded from the longest run of weekly losses this year after a rally in the dollar paused and investors expanded bullion holdings while debating the possible timing of a US interest rate increase.

Malaysia's KLSE Stock Market Forecast for Friday, 20 May 2016

noreply@blogger.com (Alex Gray) — Thu, 19 May 2016 19:14:00 +0800

The FBM KLCI failed to continue with past two days bullish streak on Thursday and closed in red.The KLCI Closed at the level of 1633, almost in the same zone as on Tuesday. The bearish closing just before the last trading day of the week sends in negative signals with even less volume expected on Friday. Any move above the 1637 level is expected to touch the 1643 level whereas a bearish swipe below the 1621 level is expected to fall till 1611.

Stocks for Tomorrow

Today's Market Review for KLCI:

The FBM KLCI index lost 1.96 points or 0.12% on Thursday. The Finance Index fell 0.58% to 14267.19 points, the Properties Index up 0.16% to 1154.09 points and the Plantation Index rose 0.45% to 7516.1 points. The market fluctuated between a high of 1635 and low of 1621 throughout the trading session on Thursday. The KLCI continued with its losses inspite of overnight mixed performance in Wall Street after Federal Reserve meeting minutes boosted speculation that the central bank will raise interest rates as soon as June.

COMMODITY

CRUDE OIL: $47.23

GOLD: $1255.35

SILVER: $16.670

MAJOR CURRENCY PAIRS

SGD/USD: 0.7248

EUR/USD: 1.1220

GBP/USD: 1.4642

KLCI COUNTER SPECIFIC NEWS

Theta Edge Behrad recorded a net profit of RM1.04 million or 0.97 sen per share for the first quarter ended March 31, 2016 (1QFY16), compared with a net loss of RM2.18 million or 2.03 sen per share a year ago, mainly due to higher revenue contribution from value-added services and operations and maintenance works.
Hup Seng Industries Bherad saw its net profit for the first quarter ended March 31, 2016 (1QFY16) nudge up by 2.77% to RM13.6 million from the RM13.23 million recorded in 1QFY15, mainly driven by higher sales.
Aeon Co. (M) Behrad is allocating RM650mil of capital expenditures for its financial year 2016. It will go towards the opening of new stores and refurbishments of present ones such as those in Mid Valley.
Volkswagen Group Malaysia Sdn Behrad aims to beat last year's record sales of 7,000 units, boosted by three new sedan models, despite expectations of softer total industry volume (TIV) this year.
UMW Holdings Behrad, through its unit UMW Aerospace Sdn Behrad, has allocated RM750 million for capital expenditure over the next two-and-a-half years.
IOI Corporation Behrad unit Loders Croklaan Group B.V. and Ireland's LCK Nutrition Ltd have called off their joint venture which would have involved the development of the nutrition lipid Betapol.
Construction company Hock Seng Lee Behrad’s (HSL) net profit fell 17.17% to RM16.25mil in the first quarter ended March 31 from RM19.62mil previously.
Petroleum National Behrad's group pre-tax profit fell 60% in the first quarter ended March 31, 2016 to RM6.8bil as it was impacted by lower revenue and prolonged weak prices and it expects the challenging times to continue.

GLOBAL FACTORS AND WORLD INDICES:

Asia stocks were mostly down today, with energy and commodity firms taking a beating as investors digested news that an imminent Federal Reserve interest rate hike could be on the cards.
Hong Kong stocks closed at the lowest level in 2-1/2 months today, joining most Asian markets in sliding on the growing possibility of another US rate hike soon.The Hang Seng index fell 0.7 per cent, to 19,694.33, the lowest close since March 1.
China stocks were little changed today, and trading volume shrank to near 3-1/2-month lows as many investors sat on their hands amid economic worries and revived concerns US interest rates will go up soon.
European stock markets slid at the start of trading today following losses across Asia and on Wall Street after the Federal Reserve hinted at a June interest rate hike.
Tokyo shares closed flat today as investors weighed news that a US interest rate hike was increasingly likely, while energy stocks tanked after oil prices tumbled from six-month highs.
US dollar jumped yesterday after the minutes to the Federal Reserves end-April meeting showed the central bank far more bullish about a possible June rate hike than markets had understood.
Gold traded near a three-week low on concern that the Federal Reserve may raise interest rates as soon as June after the possibility was flagged in the minutes from policy makers' meeting last month.

Market Forecast for KLCI Malaysia: Thursday, 19 May 2016

noreply@blogger.com (Alex Gray) — Wed, 18 May 2016 18:04:00 +0800

The FBMKLCi closed in Green for the second consecutive day on Wednesday closing at the level of 1635. The traders should by now have gained some confidence and are expected to reenter the market tomorrow. A bullish move above the 1638 level accompanied by boost in volume should help to close around the 1644 level. On the other hand, a bearish swipe till the 1624 level is expected. Top Stocks for Tomorrow

KLCI COUNTER SPECIFIC NEWS:

AYS Ventures Bhd has slipped into the red for the fourth financial quarter ended March 31 (4QFY16), with a net loss of RM477,000 or 0.13 sen per share.The steel products trader had recorded a net profit of RM5.68 million or 1.49 sen a share for 4QFY15.
Standard Chartered Bank expects Bank Negara Malaysia (BNM) to cut the overnight policy rate (OPR) by 25 basis points (bps) to 3% tomorrow.
One of the world's major mobile operators, Norway-based Telenor Group, announced today that it has acquired a Malaysian-based licensed money services business to reinforce its financial services footprint in Asia.
Digi Telecommunications Sdn Bhd (Digi) will launch its 4G LTE Carnival tomorrow at all its 150 Digi Stores & Digi Stores Express nationwide.
SP Setia Bhd is confident of achieving its sales target of RM4 billion this year, says president and CEO Datuk Khor Chap Jen.He said the sales would derive from new property launches and existing developments.
Malaysia Packing Industry Bhd (Maypak) said a piece of land owned by the company in the city will be compulsorily acquired by the government for the Mass Rapid Transit (MRT) 2 project.
EA Technique (M) Bhd foresees no challenges in its floating, storage and offloading (FSO) segment, as most of its contracts serve the downstream segment and are on long-term charters, as opposed spot charters.

GLOBAL FACTORS AND WORLD INDICES:

Asian stock markets mostly fell today after a two-day rally and strong US data that fueled talk of an interest rate rise, while Tokyo swung back and forth following a better-than-forecast economic growth reading.
Hong Kong stocks tumbled today, with sentiment hurt by weakness on Wall Street, following comments from Federal Reserve officials that rekindled prospects of a US interest rate rise as soon as June.
China's benchmark stock index closed at the lowest level in 2-1/2 months today, after comments from Federal Reserve officials rekindled prospects of a US interest rate rise as early as June.
European shares fell today, tracking losses on Asian and US stock markets that were caused by renewed expectations that the US Federal Reserve could raise rates later this year.
Japanese stocks ended the day flat today after the yen see-sawed against the US dollar, rising and falling in strength as investors digested Japan's stronger-than-expected GDP data and US inflation.
The US dollar rallied broadly in Asia today as a string of US economic data and bullish commentary from two Federal Reserve policymakers spurred talk of a US interest rate hike.
Gold fell, snapping three days of gains, as bets on the Federal Reserve lifting interest rates this year ticked higher after stronger-than-expected economic data.
Crude hit fresh 2016 highs in its march toward US$50 in Asia today, fanned by escalating wildfires in Canada's oil sands region and hopes of an easing in the oversupply.

STATISTICS:

Consumer price inflation in South Africa rose less-than-expected in the last quarter, to a seasonally adjusted annual rate of 0.8%, from 0.8% in the preceding quarter and has expected South African CPI to rise 0.9% in the last quarter.
Australia’s wage price index fell unexpectedly in the last quarter, to a seasonally adjusted 0.4%, from 0.5% in the preceding quarter and has expected Australian wage price index to remain unchanged at 0.5% in the last quarter.
Japanese gross domestic product rose more-than-expected in the last quarter, to a seasonally adjusted 0.4%, from -0.4% in the preceding quarter whose figure was revised down from -0.3% and has expected Japan’s GDP to rise 0.1% in the last quarter.
Produce price inflation output in New Zealand fell unexpectedly last month, to a seasonally adjusted annual rate of -0.2%, from -0.8% in the preceding month and has expected New Zealand PPI Output to rise 0.4% last month.

It Was A Relief for Investors After IPIC Paid the Interest for 1MDB

noreply@blogger.com (Alex Gray) — Thu, 12 May 2016 20:04:00 +0800

The FBM KLCI rose 4.4 points or 0.3% after International Petroleum Investment Co (IPIC) paid the interest on 1Malaysia Development Bhd's (1MDB) bonds.

Free Trading Signals

At 5pm, the KLCI closed at 1,648.98 points. Yesterday, IPIC said it paid interest amounting to US$52.41 million (about RM211 million) on the US$1.75 billion 5.99% notes issued by 1MDB Energy Ltd.

Today, Etiqa research head Chris Eng told theedgemarkets.com "it was a relief for investors after IPIC paid the interest for 1MDB."

He said since late April, the market had been selling too fast and there was room for stabilisation for another week.

"There is more room for market stabilisation, the downside in the short term is limited, barring the sell down in the US," Eng said.

Across Bursa Malaysia, 449 gainers outpaced 395 decliners. The bourse saw 2.05 billion shares valued at RM1.81 billion traded.

Top gainer was Genting Bhd while top decliner was Nestle (M) Bhd. Meanwhile, the most-active counter was mTouche Technology Bhd.

Across Asian share markets, Japan's Nikkei 225 rose 0.41% while Hong Kong's Hang Seng dipped 0.7%.

Reuters reported that Asian shares fell on Thursday following a dismal session on Wall Street, while the dollar firmed but remained shy of this week's highs and crude oil gave back some of its recent gains.

Source: http://www.theedgemarkets.com/my/article/klci-rises-after-ipic-pays-1mdb-bond-interest?type=Latest%20News

FFHB( 5584.KL) ENTER ABOVE 1.06 : TARGET 1.12/1.18

noreply@blogger.com (Alex Gray) — Fri, 11 Mar 2016 15:24:00 +0800

EXECUTIVE SUMMARY

FFHB is following long term uptrend. FFHB rebounded after taking support at 0.87 after a short term downtrend. It is having its resistance at 1.06. It is expected to breaks its resistance of 1.06 and move up to the target of 1.18. Looking at its previous trend, it is expected to go up to 1.12 in short term. It is technically strong counter supported by RSI, Bollinger bands and other technically indicators which are giving a strong signal of bullish trend ahead. Its a nice opportunity to buy above 1.06 and gain a considerable amount of net profit in contra. Free Trial Signals

Technical Justification

Looking at it technically FFHB took support at 0.87. It is following long term uptrend and is expected to continue its trend. It has recent given the breakout for double bottom indicating bullish trend in near future. Its near term support is at 1.00 followed by long term support at 0.87. It has its resistance at 1.06 as soon as it breaks this resistance it is expected to move up to our target price of 1.12/1.18 in contra.

FFHB is following uptrend and is increasing at a particular pace. It did not break its trend line and rebounded above it by taking support at 0.87, indicating bullishness in near future.

BOLLINGER BANDS

The price has touched the upper band. Both lower and upper bands are moving upward and hence indicating strong uptrend. FFHB is expected to increase till it is going along with the upper band.

MONIG AVERAGE CONVERSION DIVERSION (MACD)

Simple MACD has arose a bullish signal. The faster moving average curve has given cross-over to the slowest moving average curve from below strengthening bullish trend ahead.

RELATIVE STRENGTH INDEX

RSI is above 50 , currently at 67.369. Which indicated that the investors are buying the counter and hence it is expected the price would take the uptrend due to buying pressure.

TRADING VIEW

Trading should be calculative and done at correct levels. It is very important to make entry and exit at right level. An investor should always enter above the resistance level and should close his position as soon as the price has achieved the target or has hit the SL (stop loss). The entry level of FFHB is above 1.06 with SL of 1.00 and target price of 1.12/1.18.

EURUSD Edged Higher Bouncing Off and Crude Oil Jumped After the US Opening

noreply@blogger.com (Alex Gray) — Tue, 8 Mar 2016 15:30:00 +0800

EUR/USD

EURUSD edged higher bouncing off of support near the 10-day moving average at 1.0950. The currency pair is likely to consolidate until the ECB meets and the markets are able to absorb the new information. This came following a worse than expected sentiment report. Resistance is seen near the February high at 1.1375. Momentum remains negative as the MACD index prints in the red with a downward sloping trajectory. The RSI turned higher with price action reflecting accelerating positive momentum, while printing a reading of 50, which is in the middle of the neutral range.

GBP/USD

GBPUSD initially fell during the day on Monday, but turned back around to form a very positive candle. The hammer suggests that we are going to go higher, but the biggest problem that we have us going long of this market is not only is in a bit overextended at this point in time, but we do have quite a bit of noise just above. Because of this, we are going to simply sit on the sidelines in this particular market. While we do recognize the potential for a move higher, the reality is that it is going to be a very hard trade to hold onto.

AUD/USD

AUDUSD continued to break higher during the course of the day on Monday, testing the 0.75 level. If we can break above there, we should continue to go much higher, but quite frankly we are a bit overextended at this point so we will have to wait to see whether or not a pullback occurs that we can take advantage of as it would offer value in what is obviously a massive break out to the upside. We have no plans to sell at this point in time, and believe that the trend has turned around.

USD/JPY

USDJPY fell just a little bit during the course of the session here on Monday, but we are still very much in the way of consolidation, so having said that it is probably best to sit on the sidelines when it comes to this market. Quite frankly, the easiest trade in this market is to buy above the 115 level, as it would show a significant breakout above resistance. At this point in time, that’s essentially what we are waiting for and as a result will be hesitant to get involved at this point in time.

GOLD

Gold market took a positive move for the beginning of the week and showed the potential of the buyers as the previous candle was a Doji and we were expecting the market to go down but the interest of the buyer lead the price of yellow metal to 1273 handle now looking at the chart we are waiting for the price to break the resistance and open a new range of profit booking.

Forecast

We need to wait for the price to break the 1273 handle and this can lead to 1293 levels where the lower side support can be placed at 1259.

CRUDE

Crude oil was already moving in a gap up pricing, after all day consolidation the prices again jumped after the US opening and broke the $ 37 handle this lead to the main change in the price and trend of the crude oil. Now we find the major resistance at $ 38.25 if the buyers lead the market then we have a wide range to cover at part of profit.

Forecast

Buying in oil after $ 38.50 can lead the price for $ 41.00 where on the lower end we can wait for the price of $ 35.00

The FBM KLCI fell 5.50 points till Noon

noreply@blogger.com (Alex Gray) — Tue, 8 Mar 2016 14:54:00 +0800

The FBM KLCI retreated at the midday break today in line with the profit taking at most regional markets. At 12.30pm, the FBM KLCI fell 5.50 points to 1,692.43. The index had earlier risen to its intra-morning high of 1,706.08. 3 Days Free Trial Signals

Losers outpaced gainers by 469 to 214, while 344 counters traded unchanged. Volume was 1.15 billion shares valued at RM907.60 million.

The top losers included British American Tobacco (M) Bhd, Genting Bhd, Ta Ann Resources Bhd, Hartalega Holdings Bhd, Gadang Holdings Bhd, Top Glove Corporation Bhd, Latitude Tree Holdings Bhd, Nestle (M) Bhd and Can-One Bhd.

The actives included Chin Hin Group Bhd, AirAsia X Bhd, XOX Bhd, AirAsia Bhd, Bumi Armada Bhd, Sumatec Reources Bhd and APFT Bhd.

The top gainers included Carlsberg Brewery (M) Holdings Bhd, Chin Hin, Amway (M) Holdings Bhd, Kuala Lumpur Kepong Bhd, Aturmaju Holdings Bhd, Ann Joo Resources Bhd and My E.G. Services Bhd.

Asian shares fell on Tuesday as investors took profits after a month-long rally and investors grew wary of the market's near-term prospects ahead of major central bank meetings, according to Reuters.

Led by China, MSCI's broadest index of Asia-Pacific shares outside Japan fell more than a percent. Japan's Nikkei and South Korea's KOSPI fell more than a percent each, it said.

BIMB Securities Research said that in Asia, key indices closed mixed yesterday with rally in China as investors focused on the country’s plans to prop up the slowing economy while Japanese market ended negative on profits taking.

“Back home, the FBMKLCI closed higher, added 5.44 points or 0.32% to 1,697.93, lifted by heavyweights such as Genting, Maybank and YTL.

“Trading participation saw net buying by foreign institutions and local retail while local institutions were net sellers.

“We expect the local market trend sideways due to lack of fresh catalysts with the index to hover around 1,695-1,700,” it said.

GOLD & CRUDE Oil Forecast for The Week Ahead

noreply@blogger.com (Alex Gray) — Mon, 22 Feb 2016 17:32:00 +0800

GOLD
Gold market fall for the course of the week but got enough supporting hands at 1190.00 and got a strong buyers who pulled the market to 1236.00 since in last week we got the extraordinary breakout for the gold and a little down was expected to come and we found the prices too coming down for the course of coming week we are finding the yellow metal to be bit risky as a sort of undeceive candle is formed on the cart. Trading Signals Free Trial
Forecast
Selling seems to be a wise decision in the yellow metal where buying can only take place only above 1245.00 where a down move can be expected till 1140..00
CRUDE
Crude oil market initially rallied during the course of the week, a downfall was noticed on Friday as well. On the current scenario chart of crude oil speaks for the consolidation for the coming days too. As oil had touched the lows in last few days and tried hard to jump from the support somewhere it got succeeded too but not reliable. To gain the trust the of investors oil need to sustain above the handle of 41.00 which can be a safer hand to invest.

Forecast
For the course of the week we can initiate buying above 36.00 which can be hold till 40.00 as the 40.00 is a break at which the market will test to break the resistance. If the resistance get broken then we can look forward to the levels of 46.00